Does having a cosigner really make a 5% difference in the interest rate?

[responsiblesplit]

Im applying for private student loans for my 3rd year in graduate school for a principle loan amount of $30,000 with no cosigner and a $10,000 yearly income and I'm getting quoted 9-10% interest rates. I've applied to Sallie Mae, Earnest, and College Ave so far. Nelnet would give me a 4-6% interest rate but only with a cosigner which is not possible for me. I realize how insignificant my 10k yearly income is, but for my 1st and 2nd years, I received interest rates of 5% and 5.5% from Earnest and Sallie Mae, respectively, on a principle amount of $22,000 with zero income, but with a cosigner. My question is, does not having a cosigner really double the interest rate? Credit score is 780. 

Basically, how does this check out? Can someone explain this. 

Previous loans:

- Borrowed amount: $22,000 - Interest: 5% (Fixed) with Cosigner - No income - Earnest

- Borrowed amount: $22,000 - Interest: 5.5% (Fixed) with Cosigner - No income - SallieMae

Currently quoted loans:

- Requested amount: $30,000 - Interest 9.5% (Fixed/Variable) without Cosigner - Income: $10,000/year - Earnest

- Requested amount: $30,000 - Interest 10% (Fixed/Variable) without Cosigner - Income: $10,000/year - SallieMae

- Requested amount: $30,000 - Interest 9% (Fixed/Variable) without Cosigner - Income: $10,000/year - CollegeAve

[FireMedic1]

Welcome @responsiblesplit 

"That's why the vast majority of undergraduates enlist the help of a creditworthy cosigner when borrowing private student loans to pay for school, according to a 2018 Credible analysis. Borrowers with a cosigner qualify for interest rates at about 2.36 percentage points lower than those without cosigners, which can translate to significant cost savings over the life of the loan. Adding a cosigner to a private student loan can yield a lower interest rate even if the cosigner doesn't have a better credit score than the borrower. Some lenders will reduce the interest rate on a private student loan by as much as 0.5% because having a cosigner reduces the risk of default."

https://www.foxbusiness.com/personal-finance/student-loan-with-cosigner-college-debt-savings 

[Anonymalous]

Interest rates have gone way up.

[DJRobbieD]

This. The Fed has raised rates by 5% since March 2022.

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@Anonymalous wrote:

Interest rates have gone way up.

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