Author: it-teaam

If you want to know how to pay off $400,000 of student loans, the good news is that you have several options. In particular, if you’re a doctor, dentist, or lawyer, then you may have borrowed significant student loans to earn your degree. From student loan refinancing to income-driven repayment, let’s explore the best ways how to pay off $400,000 of student loans.

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Here’s how to pay off $400,000 of student loans:

1. Refinance student loans
2. Get a cosigner for student loan refinancing
3. Use income-driven repayment
4. Sign up for student loan forgiveness
5. Consider the avalanche and snowball method
6. Frequently Asked Questions

Refinance student loans

If you want to know how to pay off $400,000 of student loans, a good place to start is student loan refinancing. For example, when you refinance student loans, you can get a lower interest rate, lower student loan payment or both. This not only helps you save money, but also helps you pay off student loans faster.

Student loan refinancing is best for you if:

• you have a high interest rate on your student loan debt,
• a high monthly student loan payment, and
• good to excellent credit.

With student loan refinancing, you will get a new private student loan that will be used to pay off your current student loans. You can refinance both federal and private student loans, choose a variable or fixed interest rate, and a student loan repayment term of 5 to 20 years.

Compare the latest rates for student loan refinancing.

This student loan refinancing calculator shows you how much you can save when you refinance student loans.

For example, let’s assume that you have $400,000 of student loans at a 7.0% interest rate and a 10-year repayment term. Next, let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. Then, you would save $782 each month and $93,829 overall.

Learn more about how to refinance student loans:

• 7 reasons why you should refinance student loans now
• How to refinance student loans
• Why refinance student loans
• Is student loan refinancing worth it?
• Top 30 questions about student loan refinancing

Get a cosigner for student loan refinancing

How to pay off $400,000 of student loans is no easy task. Therefore, you may need to get a cosigner for student loan refinancing, particularly if you have bad credit or average credit. If you don’t refinance student loans, your student loan payments could become expensive.

This monthly student loan payment calculator shows you your monthly and total student loan payments.

Let’s assume you don’t refinance student loans. For student loans with a balance of $400,000 with a 7% average interest rate and a loan term of 10 years, your total monthly payment would be $4,644. The total repayment amount would be $557,321 (which includes $157,321 in interest).

Based on the student loan refinance example, student loan refinancing with a cosigner could save you $782 each month and $93,829 overall.

Compare: the top lenders to refinance student loans.

View: the latest rates for student loan refinancing.

Know: the difference between student loan refinancing and student loan consolidation.

Use income-driven repayment

If you want to know how to pay off $400,000 of student loans, an income-driven repayment plan may help. An income-driven repayment plan sets your monthly federal student loan payment based on your discretionary income and family size. You can pay as low as $0 each month for your federal student loans. However, most borrowers will pay 10% to 20% of your discretionary income for your federal student loans.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

Compare each plan to determine which income-driven repayment plan is best for your financial situation. For example, your student loan payments may be different depending upon which income-driven repayment plan you choose.

Importantly, income-driven repayment plans offer student loan forgiveness too. For example, you can have your federal student loans forgiven after 20 years (undergraduate student loans) or 25 years (graduate student loans).

Sign up for student loan forgiveness

To pay off $400,000 of student loans, you could sign up for student loan forgiveness.

The federal government offers various program for student loan forgiveness. For example, some programs offer partial student loan forgiveness, while most programs provide total student loan cancellation.

(Learn more in our student loan forgiveness guide).

For example, the Public Service Loan Forgiveness program is available to federal student loan borrowers who work full-time (at least 30 hours a week) for a public service or non-profit employer and make 120 monthly student loan payments. Student loan borrowers should enroll in an income-driven repayment plan and make at least a majority of their student loan payments while enrolled. If you have FFELP Loans or Perkins Loans, you should do a federal student loan consolidation to get a Direct Consolidation Loan. Then, pay off your Direct Consolidation Loan with an income-driven repayment plan. For public service loan forgiveness, you should submit an Employer Certification Form to the U.S. Department of Education each year and whenever you change jobs.

Student loan forgiveness is available for student loan borrowers such as:

• Military
• Law enforcement
• First responders
• Doctors
• Nurses
• Teachers
• Public servants

This public service loan forgiveness calculator helps you decide which income-driven repayment plan is best for you to save more money for public service loan forgiveness.

Teacher Loan Forgiveness is another example of student loan forgiveness that is available for teachers. For example, this program grants up to $17,500 of federal student loan forgiveness for teachers who are employed full-time for five complete and consecutive academic years at an elementary school, secondary school or educational service agency that serves low-income students.

Consider the avalanche and snowball method

The avalanche method and the snowball method are two strategies to help you pay off $400,000 of student loans.

Here’s how each method works:

The avalanche method

To pay off $400,000 of student loans with the avalanche method, you pay off your most expensive student loans first.

The avalanche method works like this:

1. Make the minimum payment on your student loans.
2. Identify the student loan with the highest interest rate.
3. Keep paying the student loan with the highest interest rate until it’s paid off.
4. Pay off the student loan with the next highest interest rate.
5. Repeat until you have pay off all your student loans.

This student loan payoff calculator shows you how much money you can save when you pay off your student loans faster.

Let’s assume that you have $400,000 of student loans and a 7% interest rate. Next, let’s assume that your monthly student loan payment is $4,644. So, if you pay an extra $400 per month (for a total of $5,044 per month), you could pay off your student loans 1.08 years earlier and save $18,785.

The snowball method:

Alternatively, you can pay off $400,000 of student loans with the snowball method. With the snowball method, you pay off your lowest balance student loan first.

The snowball method works like this:

1. Always make your minimum monthly student loan payment.
2. Pay off your lowest balance student loan.
3. Repeat until you pay off your lowest balance student loan
4. Focus on paying your student loan with the next lowest balance.
5. Follow this process until your student loans are paid off.

Frequently Asked Questions

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If you want to know how to pay off $300,000 of student loans, you’re not alone. Having $300,000 of student loans can feel overwhelming. Like many doctors, dentists and lawyers, you may have borrowed student loans to pay for school. However, the good news is that there are simple strategies how to pay off $300,000 of student loans.

[refinance_student_loans_table]

Here’s how to pay off $300,000 of student loans:

1. Refinance your student loans
2. Use a cosigner for student loan refinancing
3. Enroll in income-driven repayment
4. Explore student loan forgiveness
5. Compare the avalanche and snowball method

Refinance your student loans

A popular strategy for how to pay off $300,000 of student loans is to refinance your student loans. When you refinance student loans, you get a lower interest rate, which saves you money.

The process is simple: you combine your current student loans into a new, single, private student loans with a lower interest rate, lower student loan payment or both. Student loan refinancing can help you save up to thousands, or even tens of thousands of dollars, in interest over the life of your student loan.

With $300,000 of student loans, student loan refinancing is best for you if you have a high interest rate on your student loan debt, a high monthly student loan payment, and good to excellent credit. You can refinance federal student loans, private student loans or both. Both variable interest rates and fixed interest rates are available. Borrowers can also choose a student loan repayment term from five to 20 years.

Compare the latest rates for student loan refinancing.

This student loan refinancing calculator shows you how much you can save when you refinance student loans.

For example, let’s assume that you have $300,000 of student loans at a 7.5% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $664 each month and $79,708 overall.

Here are helpful resources for student loan refinancing:

• 7 reasons why you should refinance student loans now
• How to refinance student loans
• Why refinance student loans
• Is student loan refinancing worth it?
• Top 30 questions about student loan refinancing

Use a cosigner for student loan refinancing

The ability to pay off $300,000 of student loans may depend on whether you can get approved for student loan refinancing. To qualify for student loan refinancing, you will need at least a 650 credit score. However, many lenders prefer a credit score higher than 700. If you have bad credit or average credit, you may want to use a cosigner for student loan refinancing.

What is a cosigner? A qualified cosigner is a spouse, parent or relative with strong credit and stable income who will apply with you. If you use a cosigner, it could help you get approved for student loan refinancing and get a lower interest rate. Importantly, a cosigner assumes equal financial responsibility for your student loans.

If you don’t have a cosigner or don’t apply for student loan refinancing, it’s important to understand the full cost of your student loans. This can help you determine how to pay off $300,000 of student loans in the best way for you.

This monthly student loan payment calculator shows you your monthly and total student loan payments.

Let’s assume you don’t refinance student loans. For student loans with a balance of $300,000 with a 7.5% average interest rate and a loan term of 10 years, your total monthly payment would be $3,561. The total repayment amount would be $427,326 (which includes $127,326 in interest).

Therefore, student loan refinancing with a cosigner could help save you money.

Compare: the latest rates for student loan refinancing.

Learn: the difference between student loan refinancing and student loan consolidation.

Read: the top lenders to refinance student loans.

Enroll in an income-driven repayment plan

If you want to know how to pay off $300,000 of student loans, an income-driven repayment plan may be another helpful option. An income-driven repayment plan is best for borrowers who have federal student loans and who are struggling to make monthly payments. Through income-driven repayment, your monthly student loan payment will be based on your discretionary income and family size.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

It’s important to compare income-driven repayment plan options to determine which student loan repayment plan is best for you. While your monthly payment could be as low as $0, typically your student loan payment is 10-20% of your monthly discretionary income.

Income-driven repayment plans also offer student loan forgiveness after 20 years (for undergraduate student loans) or 25 years (for graduate student loans). If you make full, on-time monthly payments over this time period, your remaining federal student loan balance can be forgiven.

Explore student loan forgiveness

To pay off $300,000 of student loans, student loan forgiveness is an option to explore.

For federal student loans, there are several options for student loan forgiveness. These programs are offered through the federal government and can lead to student loan cancellation after requirements are met.

(Learn more in our student loan forgiveness guide).

For example, the Public Service Loan Forgiveness program is available to federal student loan borrowers who work full-time (at least 30 hours a week) for a public service or non-profit employer and make 120 monthly student loan payments. Student loan borrowers can get full federal student loan cancellation if they meet certain requirements. Importantly, make sure to submit an Employer Certification Form to the U.S. Department of Education each year and whenever you change jobs.

Who can qualify for student loan forgiveness through public service loan forgiveness? Here are a few examples:

• Military
• Law enforcement
• First responders
• Doctors
• Nurses
• Teachers
• Public servants

This public service loan forgiveness calculator helps you decide which income-driven repayment plan is best for you to save more money for public service loan forgiveness.

Teacher Loan Forgiveness is another option for student loan forgiveness. This program grants up to $17,500 of federal student loan forgiveness for teachers. To qualify for Teacher Loan Forgiveness, you must be employed full-time for five complete and consecutive academic years at an elementary school, secondary school or educational service agency that serves low-income students.

Compare the avalanche and snowball method

The avalanche method and the snowball method are two strategies for student loan repayment. While both are effective strategies, you may prefer either the avalanche method or the snowball method based on your personal circumstances and financial goals.

The avalanche method

The avalanche method is a smart strategy to pay off $300,000 of student loans. Why? The goal of the avalanche method is to pay off your most expensive student loans first.

The avalanche method works like this:

1. First, pay the minimum monthly payment on your student loans.
2. Second, pay the student loan with the highest interest rate.
3. Third, pay off the student loan with the highest interest rate.
4. Fourth, pay off the student loan with the next highest interest rate.
5. Fifth, repeat this process until you have paid off all your student loans.

This student loan payoff calculator shows you how much money you can save when you pay off your student loans faster.

Let’s assume that you have $300,000 of student loans and a 7.5% interest rate. Let’s also assume that your monthly student loan payment is $3,561. If you pay an extra $500 per month (for a total of $4,061 per month), you could pay off your student loans 1.67 years earlier and save $23,628.

The snowball method:

The snowball method is another popular option to pay off $300,000 of student loans. Why? The snowball method helps you pay off your lowest balance student loan first. This helps you build confidence as you pay off debt.

The snowball method works like this:

1. First, pay your minimum monthly student loan payment.
2. Second, pay off your lowest balance student loan.
3. Third, repeat this process until you pay off your lowest balance student loan
4. Fourth, pay your student loan with the next lowest balance.
5. Fifth, repeat this process until you pay off your student loans.

How to pay off $300,000 of student loans

Compare the latest rates for student loan refinancing so you can pay off $300,000 of student loans:

Compare the latest rates for student loan refinancing

Compare the latest rates for law school student loan refinancing

Compare the latest rates for medical professional student loan refinancing

Compare the latest rates for medical resident student loan refinancing

Compare the latest rates for pharmacy school student loan refinancing

Compare the latest rates for MBA student loan refinancing

Compare the latest rates for nursing school student loan refinancing

Compare the latest rates for Parent PLUS Loan refinancing

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If you borrowed student loans for school, you may be wondering the best way how to pay off student loans. The good news is there are many options for student loan repayment that can help you pay off student loans faster and save money. From income-driven repayment and student loan refinancing to student loan consolidation and student loan forgiveness, let’s help you master paying off your student loans with confidence.

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Here’s how to pay off student loans:

1. Determine your student loan balance
2. Evaluate student loan repayment goals
3. Use the student loan grace period
4. Enroll in autopay
5. Make extra student loan payments
6. Make lump-sum student loan payments
7. Consider student loan consolidation
8. Refinance student loans
9. Explore student loan forgiveness

Determine your student loan balance

The first step on how to pay off student loans is to determine your student loan balance. Specifically, you want to gather the following information:

• Your total federal student loan balance
• Your total private student loan balance
• Which student loans are federal student loans
• Which student loans are private student loans
• Who your student loan servicer is for each student loan
• Your minimum monthly student loan payment
• The interest rate on each student loan

You can check your student loan balance and learn more information about your student loans through the National Student Loan Data System (NSLDS).

Evaluate student loan repayment goals

When you decide to pay off student loans, you will want to evaluate your student loan repayment goals. For example, when evaluating student loan repayment options, some student loan borrowers will have different preferences based on their current financial situation and financial goals.

Specifically, you should answer these questions about your student loans:

• How much money do I owe?
• Which types of student loans do I have?
• How much can I afford to pay?
• What are my financial goals?

For example, if you are struggling to pay off student loans and need more time, you might prefer a lower monthly student loan payment. There are many ways how to lower your student loan payment. For example, an income-driven repayment plan such as IBR, PAYE, REPAYE or ICR could be best for your federal student loans. With an income-driven repayment plan, your student loan payment is based on your income and family size. After 20 years or 25 years, you can get student loan forgiveness for your federal student loans.

Alternatively, you may want to pay off student loans faster. This could help you save interest and get out of debt more quickly. In this case, student loan refinancing could be your best option.

Use the student loan grace period

When you graduate school or leave school, most federal student loans come with a six-month grace period. Think of the grace period for student loans as a time period to get organized about student loan repayment without having to pay student loans. However, not all federal student loans have a grace period. For example, here are several types of federal student loans and if your student loan has a grace period.

• Direct Subsidized Loans: have a six-month grace period
• Direct Unsubsidized Loans: have a six-month grace period
• PLUS Loans: no grace period
• Grad PLUS Loans: six-month deferment
• Parent PLUS Loans: you can request a six-month deferment
• Perkins Loans: check with your school regarding any grace period

Importantly, during your grace period, student loan interest accrues on your student loan balance. While student loan payments aren’t required during the grace period, you can choose to pay interest on your federal student loans during the grace period. If you don’t pay interest on your federal student loans, the interest will capitalize. This means the student loan interest will be added to your student loan balance at the end of your grace period.

For private student loans, check with your lender to determine if there is any grace period for student loan repayment once you graduate or leave school.

Enroll in autopay

Enroll in autopay with you student loan servicer (which is the company to whom you send your student loan payments). Autopay, or automatic payments, is the process of connecting your bank account to your student loan account with your student loan servicer. Each month, your student loan servicer will automatically debit your bank account for your student loan payment.

For example, most lenders will give you a 0.25% interest rate discount for enrolling in autopay.

Enrolling in autopay also will help you avoid late payments, which can hurt your credit score. Therefore, making automatic student loan payments every months means you won’t have to worry about remembering when to make payments or hurting your credit score if you make a late payment.

Make extra student loan payments

One strategy to pay off student loans is to make extra student loan payments. If you make any extra student loan payments, which are optional, always make sure to make your minimum student loan payment each month. Otherwise, extra interest and possibly late fees could accrue.

You’re not required to make extra student loan payments beyond one student loan payment each month. For many student loan borrowers, making one student loan payment every month can be challenging. However, if you have any extra money each month, you could make an extra student loan payment to pay off debt faster.

This student loan payoff calculator shows you how much money you can save when you pay off your student loans faster.

For example, let’s assume that you have $50,000 of student loans, an 8% interest rate and a $607 monthly student loan payment. If you pay an extra $100 per month (for a total of $707 per month), you could pay off your student loans 1.99 years earlier and save $4,923.

If you make extra student loan payments, inform your student loan servicer in writing to apply any extra student loan payments to pay off the principal balance on your student loans. Without this instruction, your student loan servicer may hold your extra payment until your next student loan payment due date.

Make lump-sum student loan payments

Another strategy on how to pay off student loans is to make lump-sum student loan payments. Rather than increase your student loan payment each month, you could make a one-time student loan payment to pay off student loans.

If you get a bonus, tax refund, inheritance, gift or any other sum, you could consider using it to pay off your student loans.

This lump sum extra payment calculator shows you how much money and time you can save when you make a lump sum payment or extra payment toward your student loans.

For example, let’s assume that you have $50,000 of student loans, an 8% interest rate and a $607 monthly student loan payment. Now, let’s assume you make a one-time, lump-sum student loan payment of $2,000. If you make a one-time, extra payment of $2,000, you will save $1,994 on your student loans. Plus, you will pay off your student loans six months earlier.

Consider student loan consolidation

Student loan consolidation refers to consolidating your federal student loans and is one strategy how to pay off student loans.

With student loan consolidation, you combine your current federal student loans into a new federal student loan called a Direct Consolidation Loan. The advantage of federal student loan consolidation is the ability to organize your current federal student loans into a single student loan. That means you will have one student loan payment, one interest rate and one student loan servicer. Therefore, student loan consolidation can simplify student loan repayment by helping you to organize your student loans.

The downside of student loan consolidation is that you won’t get a lower interest rate. With student loan consolidation, your new interest rate is equal to a weighted average of the interest rates on your current federal student loans, rounded up to the nearest 1/8%.

Read: Learn the difference between student loan refinancing and student loan consolidation.

Refinance student loans

To pay off student loans, you can refinance student loans to get a lower interest rate, pay off debt faster and save money.

Student loan refinancing is best for student loan borrowers with a high interest rate on their student loan debt, a high monthly student loan payment, and good to excellent credit. With student loan refinancing, you can refinance federal student loans, private student loans or both. When you refinance student loans, you exchange your existing student loans for a new, private student loan with a lower interest rate. The proceeds from your new student loan are used to pay off your current student loan debt.

When you refinance student loans, you can choose a fixed interest rate or variable interest rate. You can also pay off your student loans in five to 20 years.

Compare the latest rates for student loan refinancing.

This student loan refinancing calculator shows you how much you can save when you refinance student loans.

For example, let’s assume that you have $100,000 of student loans at a 7% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $195 each month and $23,457 overall.

Here are helpful resources for student loan refinancing:

• Best student loan refinance lenders
• Why refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• How to refinance student loans

Explore student loan forgiveness

Student loan forgiveness is another option to pay off student loans that you should consider.

(Here’s how to get student loan forgiveness and cancel student loan debt).

There are several ways to get student loan forgiveness through federal programs. Student loan forgiveness is available for federal student loans, but often is not available for private student loans. Most student loan forgiveness programs have requirements such as working as a public servant or working in a disadvantaged community for a certain period of time. For example, two popular programs for student loan forgiveness are the Public Service Loan Forgiveness program and Teacher Loan Forgiveness.

(Learn more in our student loan forgiveness guide).

You can also get student loan forgiveness through an income-driven repayment plan:

• Undergraduate student loans: 20 years of monthly student loan payments
• Graduate student loans: 25 years of monthly student loan payments

Here are some examples of how to get student loan forgiveness:

• Student loan forgiveness for doctors
• Student loan forgiveness for dentists
• Student loan forgiveness for pharmacists
• Student loan forgiveness for nurses
• Student loan forgiveness for teachers

How to pay off student loans: latest rates for student loan refinancing

If you want to know how to pay off student loans, compare the latest rates for student loan refinancing and find the best lender for you.

Compare the latest rates for student loan refinancing

Compare the latest rates for law school student loan refinancing

Compare the latest rates for medical professional student loan refinancing

Compare the latest rates for medical resident student loan refinancing

Compare the latest rates for pharmacy school student loan refinancing

Compare the latest rates for MBA student loan refinancing

Compare the latest rates for nursing school student loan refinancing

Compare the latest rates for Parent PLUS Loan refinancing

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If you want to consolidate student loans, you should know that there are pros and cons of student loan consolidation. Federal student loan consolidation and private student loan consolidation both help you manage student loan repayment. However, it’s important to understand the pros and cons of student loan consolidation so you can choose which options is best for you.

[refinance_student_loans_table]

Here are the pros and cons of student loan consolidation:

1. What is federal student loan consolidation?
2. What is private student loan consolidation?
3. Pros of federal student loan consolidation
4. Cons of federal student loan consolidation
5. Pros of private student loan consolidation
6. Cons of private student loan consolidation
7. Best lenders for student loan consolidation

What is federal student loan consolidation?

Federal student loan consolidation is the process of combining your current federal student loans into a new Direct Consolidation Loan. Federal student loan borrowers can consolidate federal student loans once they enter student loan repayment or during your grace period.

Federal student loan consolidation results in a federal student loan with a fixed interest rate. The goal of student loan consolidation is to organize your federal student loans into a single student loan with one monthly payment, one interest rate and student loan servicer.

Importantly, federal student loan consolidation will not lower your interest rate. Rather, federal student loan consolidation results in an interest rate that is equal to a weighted average of your current interest rates, rounded up to the nearest 1/8%.

This consolidation vs. refinancing calculator shows you how much money you can save with federal student loan consolidation vs. private student loan consolidation (student loan refinancing).

How to apply: You can apply for federal student loan consolidation through Federal Student Aid.

What is private student loan consolidation?

Private student loan consolidation, also known as student loan refinancing, is the process of combining your federal student loans, private student loans or both into a new private student loan with a lower interest rate.

The goal of student loan refinancing is to get a lower interest rate, save money and pay off student loans faster. With private student loan consolidation, you refinance student loans with a private lender rather than the federal government.

Compare the latest student loan refinancing rates.

Student loan refinancing enables you to choose a fixed interest rate or a variable interest rate. You can also choose a student loan repayment term ranging from 5 to 20 years, which provides more flexibility than the Standard Repayment Term.

This student loan refinancing calculator shows you how much money you can save when you refinance student loans.

Here are helpful resources for student loan refinancing:

• Why refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• How to refinance federal student loans
• How to refinance student loans

Pros of federal student loan consolidation

There are several pros of federal student loan consolidation:

• Organize student loans: Student loan consolidation helps you consolidate your federal student loans into a new, single federal student loan called a Direct Consolidation Loan. Federal student loan consolidation simplifies student loan repayment by providing you with a single student loan, single interest rate, single monthly student loan payment and single student loan servicer.
• Access To Income-Driven Repayment: Federal student loan consolidation gives you access to income-driven repayment plans such as Income-Based Repayment (IBR), Pay As You Earn (PAYE), Revised Pay As You Earn (REPAYE) or Income-Contingent Repayment (ICR). This is especially helpful if you need to consolidate FFELP or Perkins Loans into a Direct Consolidation Loan.
• Lower monthly payment: Federal student loan consolidation can help lower your monthly student loan payment on your federal student loans. For example, you can extend your student loan repayment term from 10 years to 30 years, which can result in a lower monthly student loan payment.

Cons of federal student loan consolidation

There are several cons of federal student loan consolidation:

• No lower interest rate: Federal student loan consolidation does not lower your interest rate. Rather, your interest rate with Direct Loan Consolidation is equal to the weighted average of the interest rates on your current federal student loans, rounded up to the nearest 1/8%.
• Higher total interest: With federal student loan consolidation, a longer student loan repayment period such as 30 years can reduce your monthly student loan payment. However, a lower monthly student loan payment can result in higher total interest.
• Doesn’t include private student loans: Federal student loan consolidation is only for federal student loans. Therefore, you can’t consolidate private student loans with the federal government.

Pros of private student loan consolidation

Pros of private student loan consolidation

• Lower interest rate: The main goal of private student loan consolidation is to lower your interest rate. If you have good to excellent credit, you can get a lower interest rate, which can save you up to thousands or tens of thousands of dollars over the life of your student loans.
• Simplify student loan repayment: Private student loan consolidation enables you to simplify student loan repayment. You can combine your student loans into a single student loan with one interest rate, one student loan payment and one student loan servicer.
• No fees: Student loan refinancing doesn’t have any application fees, origination fees or prepayment fees. (Some lenders charge late fees).

Cons of private student loan consolidation

There are several cons of private student loan consolidation:

• Need strong credit: To qualify for private student loan consolidation, you will need good to excellent credit. You will also need stable monthly income. If you have bad or average credit, you may need to apply with a cosigner.
• No federal benefits: If you refinance federal student loans, and need federal benefit such as student loan forgiveness or income-driven repayment plans, then you may not want to refinance your federal student loans. Why? When you refinance federal student loans, the resulting student loan is a private student loan, which doesn’t offer these and other federal benefits. Alternatively, you could refinance private student loans only.
• Rates can change: Unlike federal student loan consolidation, your interest rate with private student loan consolidation can change if you choose a variable interest rate. This can be advantageous if interest rates decrease. However, your student loan could become more expensive with a variable interest rate if interest rates rise.

Best student loan consolidation lenders

The best student loan consolidation lenders offer low interest rates, have flexible student loan repayment terms and offer hardship deferment.

You can apply to multiple lenders to maximize your chances to get approved and find the lowest interest rate for you. Before you apply to refinance student loans, most lenders allow you to check your interest rate for free within minutes with no impact to your credit score.

Compare the latest rates for student loan refinancing

Compare the latest rates for law school student loan refinancing

Compare the latest rates for medical professional student loan refinancing

Compare the latest rates for medical resident student loan refinancing

Compare the latest rates for pharmacy school student loan refinancing

Compare the latest rates for MBA student loan refinancing

Compare the latest rates for nursing school student loan refinancing

Compare the latest rates for Parent PLUS Loan refinancing

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If you have $200,000 of student loans, you might be unsure how to pay off your student loan debt. According to the latest student loan debt statistics, there are nearly one million student loan borrowers who owe at least $200,000 in student loan debt. If you want to know how to pay off $200,000 of student loans, the good news is that there are several ways to pay off student loans and get out of debt.

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Here’s how to pay off $200,000 of student loans:

1. Refinance student loans
2. Get a qualified cosigner
3. Sign up for an income-driven repayment plan
4. Apply for student loan forgiveness
5. Use the avalanche method
6. Use the snowball method

Refinance student loans

To pay off $200,000 of student loans, you can refinance your student loans to get a lower interest rate and save money.

When you refinance your student loans, you combine your current student loans into a new student loan with a lower interest rate, lower student loan payment or both. Student loan refinancing can help you save up to thousands, or even tens of thousands of dollars, in interest over the life of your student loan.

Student loan refinancing is best for student loan borrowers with a high interest rate on their student loan debt, a high monthly student loan payment, and good to excellent credit. If you have good to excellent credit, you could qualify for a lower interest rate. You can refinance federal student loans, private student loans or both.

When you refinance student loans, you can choose a fixed interest rate or variable interest rate. You can also choose a student loan repayment term from five to 20 years. A shorter student loan term means you will have a higher monthly student loan payment, but you can save money and pay off your student loans faster. In contrast, a longer student loan repayment means lower student loan payments, but you will pay more money in total interest.

Compare the latest rates for student loan refinancing. Make sure to find the right lender and best interest rates for your specific situation. You can apply to multiple lenders to find the best student loan refinancing rates for you.

This student loan refinancing calculator shows you how much you can save when you refinance student loans.

For example, let’s assume that you have $200,000 of student loans at an 8% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $495 each month and $59,440 overall.

Here are helpful resources for student loan refinancing:

• Why refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• How to refinance federal student loans
• How to refinance student loans

Get a qualified cosigner

Getting a qualified cosigner to help refinance student loans is a smart way how to pay off $200,000 of student loans. If you want to pay off $200,000 of student loans, but have bad credit or average credit, a qualified cosigner such as a parent or spouse could help you get approved for student loan refinancing and get a lower interest rate.

Read: Top 30 questions about student loan refinancing.

Who is the best cosigner? Choose a cosigner with good income and excellent credit. Lenders want to lend to student loan borrowers who are currently employed with steady income and credit. Your cosigner will assume equal financial responsibility for your student loans, so make sure they are comfortable doing so. Several lenders offer a cosigner release option, which allows your cosigner to be released from financial responsibility for your student loans after you make a minimum number of monthly student loan payments.

Explore the latest rates for student loan refinancing.

Read about the top lenders to refinance student loans.

Learn the difference between student loan refinancing and student loan consolidation.

Sign up an income-driven repayment plan

If you need to pay off $200,000 of student loans, you can sign up for an income-driven repayment plan. An income-driven repayment plan is available for federal student loans only and bases your student loan payments on your income and family size. Under an income-driven repayment, you can pay 10% to 20% of your monthly discretionary income toward your federal student loans.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

You can also get student loan forgiveness through an income-driven repayment plan:

• Undergraduate student loans: 20 years of monthly student loan payments
• Graduate student loans: 25 years of monthly student loan payments

Apply for student loan forgiveness

If you want to know how to pay off $200,000 of student loans, you can apply for student loan forgiveness.

(Here’s how to get student loan forgiveness and cancel student loan debt).

There are different programs available to get student loan forgiveness. Most student loan forgiveness applies only to federal student loans and is made available through the federal government. Two popular programs for student loan forgiveness are the Public Service Loan Forgiveness program and Teacher Loan Forgiveness.

(Learn more in our student loan forgiveness guide).

Public Service Loan Forgiveness

• The Public Service Loan Forgiveness program is available to federal student loan borrowers who work full-time (at least 30 hours a week) for a public service or non-profit employer and make 120 monthly student loan payments.
• Student loan borrowers must make at least a majority of their federal student loan payments while enrolled in an income-driven repayment plan such as IBR, PAYE, REPAYE or ICR.

This public service loan forgiveness calculator shows you your monthly student loan payment and how much student loan forgiveness you can get when you enroll in public service loan forgiveness.

Teacher Student Loan Forgiveness

• The Teacher Loan Forgiveness program grants up to $17,500 of federal student loan forgiveness.
• To qualify, you must be employed full-time for five complete and consecutive academic years at an elementary school, secondary school or educational service agency that serves low-income students.

Use the avalanche method

To pay off $200,000 of student loans, another option is to pay off student loans with the highest interest rate first. This is called the avalanche method.

Here’s how the avalanche method works:

1. Pay the minimum payment on your student loans every month.
2. Identify your student loan with the highest interest rate.
3. Pay off the student loan with the highest interest rate.
4. Then, pay the student loan with the next highest interest rate.
5. Repeat this process until you have paid off all your student loans.

This student loan payoff calculator shows you how much money you can save when you pay off your student loans faster.

Let’s assume that you have $200,000 of student loans and an 8% interest rate. Let’s also assume that your monthly student loan payment is $2,427. If you pay an extra $300 per month (for a total of $2,727 per month), you could pay off your student loans 1.5 years earlier and save $15,672.

The avalanche method is smart to pay off $200,000 of student loans because it helps you pay off your most expensive student loans first.

Use the snowball method

To pay off $200,000 of student loans, you could pay off your lowest balance student loan first. This is called the snowball method. Here’s how it works.

1. Pay your minimum monthly student loan payment.
2. Pay off your lowest balance student loan.
3. Repeat each month until you have paid off your lowest balance student loan
4. Start paying off your student loan with the next lowest balance.
5. Repeat this process until you pay off your student loans.

The snowball method focuses on the student loan balance, regardless of interest rate. In comparison, the avalanche method focuses on the interest rates, regardless of interest rate. The snowball method is effective to pay off $200,000 of student loans because it helps you build small psychological wins each time you pay off student loans.

Learn more:

Compare the latest rates for student loan refinancing

Compare the latest rates for law school student loan refinancing

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Compare the latest rates for pharmacy school student loan refinancing

Compare the latest rates for MBA student loan refinancing

Compare the latest rates for nursing school student loan refinancing

Compare the latest rates for Parent PLUS Loan refinancing

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If you want to know how to pay off $100,000 of student loans, it’s more manageable than you make think. The good news is that there are several options for student loan repayment, even if you have to pay off $100,000 of student loans.

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Here’s how to pay off $100,000 of student loans:

1. Refinance your student loans
2. Refinance your student loans with a cosigner
3. Pay off highest interest student loan first
4. Pay off lowest balance student loan first
5. Enroll an income-driven repayment plan
6. Get student loan forgiveness

Refinance your student loans

To pay off $100,000 of student loans, one popular option is to refinance your student loans.

When you refinance your student loans, you combine your existing federal student loans and private student loans into a new private student loan with a lower interest rate. With a lower interest rate, you can save up to thousands, or even tens of thousands of dollars, in interest costs over the life of your student loan.

Student loan refinancing helps you to choose a fixed interest rate or variable interest rate. You can also choose a student loan repayment term from five to 20 years. A shorter student loan term such as five years can help you pay off your student loans faster. In contrast, a longer student loan repayment term such as 20 years can lower your student loan payments.

Compare the latest rates for student loan refinancing.

This student loan refinancing calculator shows you how much you can save when you refinance student loans.

For example, let’s assume that you have $100,000 of student loans at a 7% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $195 each month and $23,457 overall.

Here are helpful resources for student loan refinancing:

• How to refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• Why refinance student loans
• How to refinance federal student loans

Refinance your student loans with a cosigner

If you want to pay off $100,000 of student loans, you could also refinance student loans with a cosigner. This is especially helpful if you have bad credit or average credit. Why? A qualified cosigner such as a parent or spouse could help you get approved for student loan refinancing and get a lower interest rate.

Read: Top 30 questions about student loan refinancing

If you think you need a qualified cosigner, consider someone with strong credit and steady income with a low debt-to-income ratio. While your cosigner will assume equal financial responsibility for your student loans, you can refinance your student again to release your cosigner once you meet certain requirements. If you’re applying with a cosigner to refinance student loans, make sure to choose a lender when you refinance that has a cosigner release option.

Explore the latest rates for student loan refinancing.

Read about the best banks to refinance student loans.

Learn the difference between student loan refinancing and student loan consolidation.

Pay off highest interest student loan first

To pay off $100,000 of student loans, another option is to pay off student loans with the highest interest rate first. This is called the avalanche method.

Here’s how the avalanche method works:

First, always pay the minimum payment on your student loans.

Second, identify your student loan with the highest interest rate.

Third, pay off the student loan with the highest interest rate.

Fourth, once you pay off the student loan with the highest interest rate, then pay off the student loan with the next highest interest rate.

Fifth, repeat this process until you have paid off all your student loans.

This student loan payoff calculator shows you how much money you can save when you pay off your student loans faster.

Let’s assume that you have $100,000 of student loans and an 8% interest rate. Let’s also assume that your monthly student loan payment is $1,213. If you pay an extra $200 per month (for a total of $1,413 per month), you could pay off your student loans 1.92 years earlier and save $9,871.

Pay off lowest balance student loan first

To pay off $100,000 of student loans, you could pay off your lowest balance student loan first. This is called the snowball method. Here’s how it works.

First, always pay your minimum monthly student loan payment.

Second, pay off your lowest balance student loan.

Third, once you have paid off your lowest balance student loan, then start paying off your student loan with the next lowest balance.

Fourth, repeat this process until you pay off your student loans.

Unlike the avalanche method (which focuses on interest rate), the snowball method focuses on the student loan balance, regardless of interest rate.

The reason the snowball method is effective to pay off $100,000 of student loans is because it helps you build small wins as you pay off each student loan. While the avalanche method may be more advantageous financially, the snowball method is advantageous psychologically.

Enroll in an income-driven repayment plan

If you need to pay off $100,000 of student loans, you can enroll in an income-driven repayment plan. An income-driven repayment plan sets your monthly federal student loan payment based on your discretionary income and family size. Each month, you pay 10% to 20% of your discretionary income toward your federal student loans.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

Income-driven repayment plans also offer student loan forgiveness as follows:

• Undergraduate student loans: get student loan forgiveness after 20 years
• Graduate student loans: get student loan forgiveness after 25 years

Get student loan forgiveness

If you want to know how to pay off $100,000 of student loans, you can also explore student loan forgiveness.

There are several federal programs for student loan forgiveness that are available to all federal student loan borrowers. (How to get student loan forgiveness and cancel student loan debt).

Student loan forgiveness is available for federal student loans through the federal government, but the federal government doesn’t provide student loan forgiveness for private student loans. Public Service Loan Forgiveness and Teacher Loan Forgiveness are two popular federal programs for student loan forgiveness.

(Learn more in our student loan forgiveness guide).

Public Service Loan Forgiveness

• The Public Service Loan Forgiveness program is available to federal student loan borrowers who work full-time for a public service or non-profit employer.
• Student loan borrowers must make 120 monthly student loan payments.
• You must enroll in an income-driven repayment plan.,
• You must make at least a majority of your federal student loan payments while enrolled in an income-driven repayment plan.

This public service loan forgiveness calculator shows you your monthly student loan payment and how much student loan forgiveness you can get when you enroll in public service loan forgiveness.

Teacher Student Loan Forgiveness

• The Teacher Loan Forgiveness program can provide up to $17,500 of federal student loan forgiveness.
• To qualify, you must be employed full-time for five complete and consecutive academic years at an elementary school, secondary school or educational service agency that serves low-income students.
• In comparison, the Public Service Loan Forgiveness program takes longer to complete, but public service loan forgiveness can forgive all your remaining federal student loans. In contrast, Teacher Loan Forgiveness only forgives up to $17,500.

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If you’re looking for student loan forgiveness for teachers, there are several options. From public service loan forgiveness to Teacher Loan Forgiveness, this guide will help you navigate the best options for you.

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Here’s how to get student loan forgiveness for teachers:

1. Public service loan forgiveness
2. Teacher loan forgiveness
3. Income-driven repayment plans
4. Perkins Loan Cancellation
5. Student loan forgiveness for teachers: state programs
6. Student loan refinancing

Public Service Loan Forgiveness

If you want to get student loan forgiveness for teachers, then the Public Service Loan Forgiveness program is a smart option. Congress created the Public Service Loan Forgiveness program in 2007 to help public servants get student loan forgiveness.

To qualify for public service loan forgiveness, teachers will need to work full-time for an eligible public service or non-profit employer while making 120 monthly federal student loan payments.

Learn more: Public Service Loan Forgiveness Guide

Teachers need to meet certain requirements in addition to making 120 monthly student loan payments. For example, you will need to enroll in an income-driven repayment plan. You must make at least a majority of your federal student loan payments while enrolled in an income-driven repayment plan such as IBR, PAYE, REPAYE or ICR. Once you meet the requirements for public service loan forgiveness, your remaining federal student loan balance will be forgiven.

This public service loan forgiveness calculator shows our new monthly student loan payment and how much student loan forgiveness you can get when you enroll in public service loan forgiveness. This public service loan forgiveness calculator also can help you decide which student loan repayment plan helps you get the most student loan forgiveness.

How to apply: To get public service loan forgiveness, contact your student loan servicer or visit the U.S. Department of Education website.

Teacher loan forgiveness

One of the best ways to get student loan forgiveness is through the Teacher Loan Forgiveness program.

The Teacher Loan Forgiveness program can provide up to $17,500 of federal student loan forgiveness.

To qualify, you must be employed full-time for five complete and consecutive academic years at an elementary school, secondary school or educational service agency that serves low-income students.

In comparison, public service loan forgiveness provides more student loan forgiveness for teachers than the Teacher Loan Forgiveness program. While teacher loan forgiveness provides up to $17,500 of student loan forgiveness, public service loan forgiveness grants full federal student loan cancellation on your remaining student loan balance.

How to apply: Submit an application for Teacher Loan Forgiveness to your student loan servicer.

Income-driven repayment plan

Income-driven repayment plan are a helpful option to get student loan forgiveness for teachers.

An income-driven repayment plan sets your monthly federal student loan payment based on your discretionary income and family size. Through an income-driven repayment plan, you pay a portion of your discretionary income, such as 10-20%, each month as your federal student loan payment. Make sure to update your income and family size each year because it can impact the amount of your student loan payments.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

Teachers can also get student loan forgiveness for their federal student loans through an income-driven repayment plan as follows:

• Undergraduate student loans: after 20 years of monthly student loan payments
• Graduate student loans: after 25 years of monthly student loan payments

How to apply: To apply for an income-driven repayment plan, contact your student loan servicer.

Perkins Loan Cancellation

Perkins Loan Cancellation is another way to get student loan forgiveness for teachers. Perkins Loans were federal student loans for student loan borrowers in financial need that were disbursed as part of a federal program that ended in 2018.

If you have Perkins Loans, you can get student loan cancellation for your Perkins Loan over five years.

While working full-time as a teacher, you can also defer making student loan payments on your Perkins Loans. This means that you won’t have to make payments on your Perkins Loans during the deferment period and potentially can get more student loan forgiveness.

How to apply: Apply for Perkins Loans cancellation directly through your school.

Student loan forgiveness for teachers: state programs

Most student loan forgiveness for teachers is through federal programs, meaning they are offered through the federal government, including the U.S. Department of Education. Teachers can also explore options for student loan forgiveness through state governments.

Some states may offer student loan forgiveness for teachers if you commit to work in an under-served area, for example, for a specified period of time.

How to apply: You can check with your state to determine if there are opportunities to get student loan forgiveness for teachers.

Student loan refinancing

If you don’t qualify for student loan forgiveness for teachers, you could consider an alternative option such as student loan refinancing.

Student loan refinancing is the process of combining your current student loans into a new private student loan with a lower rate. The goal of student loan refinancing is to save money by getting a lower interest rate, a lower monthly payment or both. Student loan refinancing is not student loan forgiveness, however.

Learn more: Student Loan Refinancing Guide

Teachers can qualify for student loan refinancing with a minimum 650 credit score, steady monthly income and a low debt-to-income ratio. You can choose a fixed interest rate or variable interest rate as well as a student loan repayment term between 5 and 20 years. Lenders want to ensure that you have enough monthly cash flow to pay for living expenses and debt payments.

If you think you may not qualify for student loan refinancing, you can apply with a qualified cosigner such as a spouse or parent who has strong credit and stable monthly income. A cosigner assumes equal financial responsibility for your student loans, but a cosigner also can help you get approved for student loan refinancing and get a lower interest rate.

This student loan refinancing calculator shows you how much money you can save when you refinance student loans.

For example, let’s assume that you have $70,000 of student loans from teaching school at a 7% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $137 each month and $16,420 overall on your teaching student loans.

How to apply: Compare the latest rates for student loan refinancing and apply with each lender.

Here are some helpful resources for student loan refinancing:

• How to refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• Why refinance student loans
• How to refinance federal student loans

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If you’re interested in student loan forgiveness for nurses, the good news is there are several options for student loan forgiveness. From public service loan forgiveness to the Nurse Corp Loan Repayment Program, this guide will help you navigate the best options for you.

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Here’s how to get student loan forgiveness for nurses:

1. Public service loan forgiveness
2. National Health Service Corps Loan Repayment
3. Nurse Corps Loan Repayment
4. Income-driven repayment plans
5. Perkins Loan Cancellation
6. Student loan forgiveness for nurses: state programs
7. Student loan refinancing

Public Service Loan Forgiveness

If you want to get student loan forgiveness for nurses, then the Public Service Loan Forgiveness program is a popular option. Created in 2007, public service loan forgiveness helps nurses and other public servants get full federal student loan forgiveness.

To qualify for public service loan forgiveness, nurses will need to work full-time for an eligible public service or non-profit employer while making 120 monthly federal student loan payments.

Learn more: Public Service Loan Forgiveness Guide

Nurses need to meet certain requirements in addition to making 120 monthly student loan payments. For example, you will need to enroll in an income-driven repayment plan. You must make at least a majority of your federal student loan payments while enrolled in an income-driven repayment plan such as IBR, PAYE, REPAYE or ICR. Once you meet the requirements for public service loan forgiveness, your remaining federal student loan balance will be forgiven.

This public service loan forgiveness calculator shows our new monthly student loan payment and how much student loan forgiveness you can get when you enroll in public service loan forgiveness.

How to apply: To get public service loan forgiveness, contact your student loan servicer or visit the U.S. Department of Education website.

National Health Service Corps Loan Repayment

The National Health Service Corps (NHSC) Loan Repayment program provides student loan forgiveness to nurses who work for two years in a Health Professional Shortage Area.

The NHSC Loan Repayment Program is made available for both federal student loans and private student loans. In comparison to public service loan forgiveness, you don’t have to work full-time. NHSC Loan Repayment is available for both full-time and part-time nurses. That said, part-time nurses must work at least 20 hours a week for 45 weeks per year. Nurse practitioners are eligible as well.

Here’s how much student loan forgiveness nurses can get:

• Full-time nurses: You can get student loan forgiveness ranging from $30,000 to $50,000.
• Part-time nurses: You can get student loan forgiveness ranging from $15,000 to $25,000.
• How to apply: To get student loan forgiveness through NHSC Loan Repayment, nurses can apply directly on the NHSC website.

Nurse Corps Loan Repayment

Another option for student loan forgiveness for nurses is Nurse Corp Loan Repayment. The Nurse Corp Loan Repayment program pays up to 85% of unpaid student loans for nurses. This includes:

• 60% of your unpaid nursing student loans, including both private student loans and federal student loan, in exchange for two years of full-time employment in a Critical Shortage Facility or in an eligible nursing school as nurse faculty; and
• 25% of your unpaid student loan balance if you work full-time for a third year.

Nurse Corp Loan Repayment is available for licensed registered nurses (RNs), advanced practice nurse practitioners (APRNs) and nurse faculty. Under the program, you must work two years, but you also have the option to work a third year.

How to apply: To apply for the Nurse Corp Loan Repayment, submit an application on the Nurse Corp Loan Repayment website.

Income-driven repayment plans

Income-driven repayment plan are a helpful option to get student loan forgiveness for nurses. An income-driven repayment plan sets your monthly federal student loan payment based on your discretionary income and family size. Through an income-driven repayment plan, you pay a portion of your discretionary income, such as 10-20%, each month as your federal student loan payment. Make sure to update your income and family size each year because it can impact the amount of your student loan payments.

There are four income-driven repayment plans:

• Income-Based Repayment (IBR)
• Pay As You Earn (PAYE)
• Revised Pay As You Earn (REPAYE)
• Income-Contingent Repayment (ICR)

Nurses can get student loan forgiveness through an income-driven repayment plan after 20 years of monthly student loan payments for an undergraduate degree, while a graduate degree will take 25 years of monthly student loan payments to get student loan forgiveness.

How to apply: To apply for an income-driven repayment plan, contact your student loan servicer.

Perkins Loan Cancellation

Perkins Loan Cancellation is another way to get student loan forgiveness for nurses. Perkins Loans were federal student loans for student loan borrowers in financial need that were disbursed as part of a federal program that ended in 2018. Through Perkins Loan Cancellation, eligible nurses who still have Perkins Loans can get total Perkins Loan Cancellation.

Through Perkins Loan Cancellation, nurses can have their student loans cancelled over five years. While working full-time as a nurse, you can also defer making student loan payments on your Perkins Loans. This means that you won’t have to make payments on your Perkins Loans during the deferment period and potentially can get more student loan forgiveness.

How to apply: Since Perkins Loans were disbursed by colleges and universities, you can apply for Perkins Loans cancellation directly through your school.

Student loan forgiveness for nurses: state programs

Most student loan forgiveness for nurses is through federal programs, meaning they are offered through the federal government, including the U.S. Department of Education. Nurses can also explore options for student loan forgiveness through state governments.

Some states may offer student loan forgiveness for nurses if you commit to work in an under-served area in public service, for a non-profit or as nurse faculty for a minimum period of time such as two years.

How to apply: you can check with your state to determine if there are opportunities to get student loan forgiveness for nurses.

Student loan refinancing

An alternative to student loan forgiveness for nurses, or if you don’t qualify for student loan forgiveness, is student loan refinancing.

Student loan refinancing is the process of combining your current student loans into a new private student loan with a lower rate. The goal of student loan refinancing is to save money by getting a lower interest rate, a lower monthly payment or both.

Learn more: Student Loan Refinancing Guide

Nurses can qualify for student loan refinancing with a minimum 650 credit score, steady monthly income and a low debt-to-income ratio. You can choose a fixed interest rate or variable interest rate as well as a student loan repayment term between 5 and 20 years.

This student loan refinancing calculator shows you how much money you can save when you refinance student loans.

For example, let’s assume that you have $70,000 of student loans from nursing school at a 7% interest rate and a 10-year repayment term. Let’s assume you refinance student loans at a 3% interest rate and a 10-year repayment term. You would save $137 each month and $16,420 overall on your nursing student loans.

How to apply: Compare the latest rates for student loan refinancing and apply with each lender.

Here are some helpful resources for student loan refinancing:

• How to refinance student loans
• 7 reasons why you should refinance student loans now
• Is student loan refinancing worth it?
• Why refinance student loans
• How to refinance federal student loans

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