WASHINGTON—Credit unions across the country have been deepening their role in education finance, and now, more and more are showcasing their solutions via the Student Choice loan marketplace, Student Choice reported.
Featuring an easy-to-use tool that quickly matches students with lenders, the marketplace has added three credit unions in the past two months, further enhancing the reach of the platform that already reaches borrowers in all 50 states and has helped more than 132,000 families nationwide in their college planning and funding process, Student Choice explained.
So far in 2025, more than 53,500 students and families have used Student Choice’s CUSelect Finder Tool to search for more than $1.3 billion in education financing, reflecting the growing demand for transparent, mission-aligned alternatives to traditional private student loans, Student Choice said.
“We view student lending not just as a product, but as a meaningful service opportunity for our members,” said Humberto Ornelas, vice president of consumer lending at Star One Credit Union, which recently joined the marketplace. “With so much uncertainty involving education financing lately, we want our members to know that Star One will be there with real solutions—not just during college, but for their entire financial journey.”
Best-Kept Secrets
“While a few big-name private student lenders dominate the digital landscape through aggressive paid advertising and teaser rates, credit unions have remained one of the industry's best-kept secrets—despite offering uniquely flexible, responsible options rooted in member service,” Student Choice said, adding the Student Choice marketplace was created in response to this imbalance.
“The student lending landscape is confusing, and we were tired of watching millions of students and families encounter the same five lenders over and over again – companies that spend millions on advertising, influencer deals, and direct mail to try and own the market,” said Michael Weber, chief marketing officer for CU Student Choice. “That kind of pay-to-play exposure drives up borrower acquisition costs, and ultimately, loan costs for families.”
In contrast, many credit unions offer a more affordable and flexible option: the education line of credit. But these programs have often been overlooked in the costly battle for digital visibility, Weber said.
“We’re working to level the playing field,” Weber continued. “This marketplace eliminates confusion around credit union membership and seamlessly connects students and families with credit unions that can meet their funding needs, while also providing straight-forward information to help them borrow smarter.”
Student Choice said it works with hundreds of credit unions to help them offer education line of credit programs that reflect their core values: flexibility, fiscal responsibility, and member-first service. Unlike many traditional private loans that require borrowers to reapply annually, the education line of credit allows funds to be drawn as needed across multiple academic years, helping reduce unnecessary debt while providing peace of mind.
Credit union solutions have not gone unnoticed among college planning and funding experts, Student Choice emphasized.
“I’m impressed by the innovative line of credit that credit unions have brought into the student lending market,” said Debbie Schwartz, founder and CEO of Road2College, a widely respected education platform that helps millions of families each year navigate the complexities of college admissions and financial aid. “The multi-year borrowing capability makes it very convenient and flexible, and we’ve been proud to highlight it to our user base as an alternative to traditional private student loans.”
The expansion of credit union involvement marks a long-overdue shift in the student loan landscape, Student Choice added.
“For years, a handful of national lenders have dominated the conversation through marketing muscle alone, often at the expense of more flexible, student-centered solutions. But that dynamic is changing. Credit unions are no longer content to be the best-kept secret in student lending. They’re stepping forward, raising their voices, and expanding access to mission-driven options for the families who need them most,” the company said.