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Student Loan Refinance Calculator

Use our student loan refinance calculator to estimate how much you could save by refinancing your student debt to a lower interest rate or shorter term.

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How to use this calculator when considering student loan refinance

This student loan refinance calculator will estimate your new monthly payment and potential savings, helping you decide if a student loan refinance is the right move for you.

What you need

When you refinance student loans, a lender pays off your old debt and issues a new loan with a new interest rate and repayment term. Enter the following information into our calculator to receive the most accurate estimate of how much refinancing your student loans could save.

  • Student loan balance: You can find your current balance by logging onto your student loan account or contacting your student loan servicer. Be sure to include the total amount, including accrued interest.
  • Current monthly payment: This is the minimum amount you’re required to pay monthly on your student loans.
  • New interest rate: Switching to a lower student loan interest rate could reduce your monthly payment, allowing you to pay off your debt faster. Check out the top student loan refinance offers, but note that not all borrowers will qualify for the lowest advertised rates.
  • New loan term: Your new loan term will depend on your refinance lender’s options, but will typically range from five to 20 years. While a shorter repayment term can help reduce your accrued interest, your monthly bill will likely increase.

Student loan refinance: Is it worth it?

Refinancing has many benefits, like saving on interest and paying off your student loan debt quicker. However, it’s important to weigh the pros and cons of refinancing student loans before proceeding.

Although you can technically refinance federal student loans, it’s generally best to avoid doing so — you’ll lose access to federal programs like income-driven repayment plans and student loan forgiveness programs.

That said, refinancing your federal loans could be worth it if you’re eligible for a significantly lower interest rate and don’t qualify for any federal benefits.

Ultimately, though, you’ll want to ensure that a student loan refinance actually saves you money. By crunching the numbers with our calculator, you can review your potential savings before applying.

Other student loan calculators

Looking to calculate your total student loan interest? How about a calculator to see if it’s worth paying off your student loans in full or applying for the Public Service Loan Forgiveness (PSLF) program? Here are some useful calculators to have a look at.

Frequently asked questions

Deciding when to refinance your student loans comes down to whether you qualify for a lower interest rate. Typically, you need to graduate school before you can apply for a student loan refinance — although there are a few lenders that offer refinancing to those who didn’t earn a degree.

It is generally best to avoid refinancing your federal student loans if you want access to government protections like income-driven repayment and loan forgiveness. However, borrowers who don’t qualify for such programs might save money by refinancing their federal debt if they can secure a lower interest rate.

You can refinance your student loans as often as you want. There are typically no fees associated with a student loan refinance, so there’s no harm in switching lenders whenever you see a lower interest rate.

Just be sure to use our refinance calculator in advance to compare rates for refinancing student loans to ensure you get the best deal.

The amount you can expect to save depends on your current loan balance, plus your new rate and term.

Let’s say you have $30,000 in private student loans with a 7% rate on a 10-year term; your monthly payment would be $348. Now, if you refinance to a 5% rate, and if your monthly payment remains around the same, you would save $4,483 in total interest charges while shaving one year off your repayment term.

While requirements vary by lender, here are some standard criteria lenders look at when assessing your level of creditworthiness:

  • Your credit score. Many refinance lenders require a good to excellent FICO Score in the mid-600s or higher, although you can add a creditworthy cosigner if your credit score isn’t up to par.
  • Your income. You’ll need to demonstrate you have enough funds to cover your new student loan payment. Lenders evaluate this by looking at your debt-to-income (DTI) ratio, which is all your monthly debts divided by your gross income. Many refinance lenders prefer a DTI below 50%.

Your school. In general, most lenders require that you graduate from an eligible institution to qualify for student loan refinancing — still, some lenders will work with those who didn’t complete their degree.