Calculate your student loan monthly payment, total interest, and payoff timeline.
Federal student loans offer income-driven repayment plans, potential forgiveness programs, and fixed rates set by Congress. Private loans from banks or lenders may have variable rates and fewer repayment options. Always exhaust federal loan options before taking private loans.
The standard 10-year plan minimizes total interest. Income-Driven Repayment (IDR) plans like SAVE, IBR, and PAYE cap payments at 5–10% of discretionary income, extending the term to 20–25 years. Public Service Loan Forgiveness (PSLF) forgives remaining balances after 10 years for qualifying public sector workers.
If your loan rate is above 6–7%, paying extra toward principal often makes more financial sense than investing the difference. Below 5%, investing in a diversified portfolio may yield better long-term returns than accelerating loan payoff.