Student Loan Calculator
Calculate student loan payments, total costs, and repayment strategies. Compare standard, graduated, and income-driven plans.
Understanding Student Loans
Student loan debt affects 43+ million Americans with average debt of $37,000 per borrower. Understanding your repayment options, interest costs, and strategies for faster payoff can save tens of thousands of dollars and years of payments.
Federal vs Private Student Loans
Federal Loans: Fixed rates (3.7-7.5% typically), income-driven repayment options, loan forgiveness programs, deferment/forbearance flexibility, death/disability discharge. Types: Direct Subsidized (government pays interest while in school), Direct Unsubsidized (interest accrues immediately), PLUS Loans (parents/grad students, higher rates).
Private Loans: Variable or fixed rates (3-15% based on credit), fewer repayment options, no forgiveness programs, cosigner often required, harder to discharge in bankruptcy. Offered by banks and credit unions. Consider only after exhausting federal aid.
Student Loan Repayment Options
Standard Repayment Plan
Fixed payments over 10 years. Pros: Lowest total interest, fastest payoff, simple. Cons: Highest monthly payment. Best for: those who can afford payments and want to minimize total cost.
Graduated Repayment Plan
Payments start low and increase every 2 years over 10 years. Pros: Lower initial payments when income is typically lower. Cons: Pay more total interest, payments increase significantly. Best for: expecting significant income growth.
Income-Driven Repayment (IDR) Plans
Payments based on income and family size, typically 10-20% of discretionary income. Types: Income-Based Repayment (IBR), Pay As You Earn (PAYE), Revised PAYE (REPAYE), Income-Contingent Repayment (ICR). Pros: affordable payments, potential loan forgiveness after 20-25 years. Cons: much higher total interest, longer payoff, forgiven amount may be taxable. Best for: low income relative to debt, pursuing Public Service Loan Forgiveness.
Refinancing
Refinance federal or private loans to new private loan at lower interest rate. Pros: Lower rate saves thousands, simplified payments if consolidating multiple loans. Cons: Lose federal protections (IDR, forgiveness, deferment), can't undo refinancing. Best for: stable high income, low chance of needing federal protections, significantly lower rate available (1%+ reduction). Use our loan calculator to compare options.