How to Pay Off $30,000 in Student Loans (2024)

If you racked up $30,000 in student loan debt, you’re right in line with typical numbers: theaverage student loan balanceper borrower is $33,654. Compared to others who have six-figures worth of debt, that loan balance isn’t too bad. However, your student loans can still be a significant burden.

1. Make extra payments

If at all possible, try making extra payments toward your student loan debt. To get started, use this chart to estimate what your minimum payment would be.

Loan Balance

Monthly Payment

Total Repaid

$15,000

$156

$18,681

$20,000

$208

$24,908

$25,000

$259

$31,135

$30,000

$311

$37,362

$35,000

$363

$43,589

[Numbers are based on a 10-year repayment term and a 4.53% interest rate.]

Making additional payments can help decrease the interest that accrues, so you’ll save money over time. If you’re short on cash, you don’t have to come up with huge sums to make a difference. Small amounts applied to your loan balance consistently can pay off over time.

For example, if you had $35,000 in student loans, your monthly payment would be $363. If you upped your payment by just $20 per month — paying $383 toward your loans — you’d pay $42,999 over the length of your loan. Paying a little extra each month would help you save nearly $600, and you’d pay off your loan over a month earlier.

2. Refinance your debt

If you want topay off your student loansas aggressively as possible, consider refinancing your debt. With this option, you take out a loan from astudent loan refinancelender and use it pay off your existing debt.

If you have good credit, you could qualify for alower interest rate. With a lower rate, more of your monthly payment goes toward the principal instead of the interest that accrues, so you may save money and pay off your debt sooner.

For example, if you had $30,000 in student loans at 7% interest and a 10-year loan term, your monthly payment would be $348. Over the life of your loan, you’d repay a total of $41,799; interest charges would cause your balance to grow by over $11,000.

But let’s say you refinanced your loans and qualified for a 10-year loan at 5% interest. Your monthly payment would drop to $318, but you’d repay just $38,184 during your loan term. Taking the time to submit an application for student loan refinancing would allow you to save over $3,600.

Credible allows you to compare rates from all of the student loan refinancing lenders below by filling out a single form. Comparing rates is completely free and doesn’t affect your credit score.

Advertiser Disclosure

4.44.4

Credible rating

Fixed (APR)

5.48% -

Loan Amounts

$10,000 up to total refinance amount

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

Overview

Borrowers who graduated with at least a bachelor’s degree may refinance their student loans with ELFI. Every applicant is assigned a student loan advisor to help guide them through the process.

Students who wish to take over their parents’ PLUS loan may do so by refinancing with ELFI — something not offered by every lender — but spouses can’t consolidate their loans into a single refinancing loan.

Unfortunately, ELFI doesn’t allow borrowers to release cosigners, nor does it offer any rate discounts. However, borrowers who experience financial hardship may be eligible for up to 12 months of forbearance.

Interest rates

Fixed and variable

Minimum credit score

680

Minimum income

$35,000

Loan terms

5, 7, 10, 15, or 20 years for student loan refinancing; 5, 7, or 10 years for parent loan refinancing

Loan amounts

Minimum of $10,000 with no set maximum.

Cosigner release

None

Eligibility

Must be a U.S. citizen or permanent resident with a bachelor’s degree or higher. Must have at least $10,000 in student loans to refinance and a minimum credit history of 36 months.

Read full review

4.64.6

Credible rating

Fixed (APR)

5.49% -

Loan Amounts

$5,000 - $250,000

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

Overview

Founded in 2009, LendKey partners with 300+ community banks and credit unions to connect borrowers with the loans they need. You can compare multiple lenders at once without affecting your credit score.

However, the exact terms and qualification requirements available through LendKey vary depending on your chosen community lender. While you can easily compare options, you’ll need to read the fine print of each offer to make sure the loan offers everything you need.

Interest rates

Fixed or variable

Minimum income

Does not disclose

Loan terms

5, 7, 10, or 15 years

Loan amounts

$5,000 to $250,000

Cosigner release

Varies based on lender's terms

Eligibility

Must be a U.S. citizen or permanent resident and have already graduated with at least an associate degree from one of LendKey lenders’ eligible institutions.

Read full review

3.93.9

Credible rating

Fixed (APR)

5.85% -

Loan Amounts

$5,000 - $250,000

Min. Credit Score

670

Check Rates

on Credible’s website

View Details

Overview

INvestEd is an Indiana-based nonprofit lender that provides refinanced student loans nationwide. As a nonprofit, INvestEd offers competitive rates as well as an autopay discount. Cosigner release is also available after 12 on-time payments, which is less than many competitors.

However, the maximum refinance limit of $250,000 is below what other lenders may allow. Borrowers must also comply with strict credit and income requirements to qualify, or must have an eligible cosigner. While credit requirements are clearly defined, there’s no way to prequalify with a soft credit check.

Interest rates

Fixed or variable

Minimum credit score

670

Minimum income

Does not disclose

Loan terms

5, 10, 15, or 20 years

Loan amounts

$5,000 to $250,000

Cosigner release

12 months

Eligibility

U.S. citizens or permanent residents are eligible. Borrowers must meet minimum requirements including a FICO score of 670 or higher, annual income of $36,000, a debt-to-income ratio below 40% to 50%, a year of continuous employment, and no defaults or serious collection activities in recent years.

Read full review

3.83.8

Credible rating

Fixed (APR)

6.00% -

Loan Amounts

$7,500 - $200,000

Min. Credit Score

700

Check Rates

on Credible’s website

View Details

Overview

EdvestinU is a loan program offered by Granite Edvance Corporation and offers affordable rates for refinance loans. Borrowers can refinance federal and private loans, and fixed and variable rate loans are available.

EdvestinU refinance loans are available to residents of about 20 states, and the lender has higher loan minimums and lower maximums than some competitors. Both of these factors limit who can (or might want to) refinance with this lender, but eligible borrowers do have various repayment term options.

Interest rates

Fixed or variable

Minimum credit score

700

Minimum income

Does not disclose

Loan terms

5, 10, 15, or 20 years

Loan amounts

$7,500 to $200,000

Cosigner release

24 months

Eligibility

U.S. citizens or permanent residents who are at least 18 years old and reside in Alaska, Arkansas, Colorado, Connecticut, Florida, Maine, Massachusetts, Nebraska, New Hampshire, New Jersey, New York, North Carolina, Puerto Rico, Rhode Island, Texas, Utah, Virginia, Washington, West Virginia, and Wisconsin.

Read full review

44

Credible rating

Fixed (APR)

6.20% -

Loan Amounts

$10,000 up to the total amount

Min. Credit Score

670

Check Rates

on Credible’s website

View Details

Overview

Not-for-profit lender Massachusetts Educational Financing Authority (MEFA) offers refinancing loans to student borrowers — and unlike many other lenders, you don’t need to have earned your degree to qualify. Only fixed-rate loans are available, but the rates are competitive and may be lower than what other lenders can offer. MEFA also doesn’t charge any fees or penalties.

Refinance loans start at $10,000, and you must have made six consecutive on-time payments on the original loans over the most recent six months. If you can’t qualify based on your own credit history, you can add a cosigner.

Interest rates

Fixed

Minimum credit score

670

Minimum income

Does not disclose

Loan terms

7, 10, or 15 years

Loan amounts

$10,000 up to your total debt

Cosigner release

None

Eligibility

Must be a U.S. citizen or permanent resident who is the primary borrower on education debt used to attend an eligible college or university. Must have made six on-time loan payments over the most recent six months. Must have no history of default or delinquency on education debt for the past 12 months and no history of bankruptcy or foreclosure in the past five years.

Read full review

3.73.7

Credible rating

Fixed (APR)

6.34% -

Loan Amounts

$7,500 - $250,000

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

Overview

Founded in 1981, Rhode Island Student Loan Authority (RISLA) is a nonprofit lender that offers refinance loans to borrowers in all 50 states. Though most private lenders require borrowers to have graduated to qualify for refinancing, RISLA also serves borrowers who didn’t complete their degree.

RISLA offers income-based repayment to borrowers in financial distress. Additionally, borrowers may also access up to 24 months of forbearance in the event of financial hardship. Borrowers who return to graduate school may defer repayment on their refinancing loans for up to 36 months.

Interest rates

Fixed

Minimum credit score

680

Minimum income

$40,000

Loan terms

5, 10, or 15 years

Loan amounts

$7,500 minimum up to of $250,000, depending on degree

Cosigner release

None

Eligibility

Borrower or cosigner must meet credit requirements. Student must be a U.S. citizen or permanent resident and have used original student loans to attend an eligible degree-granting institution.

Read full review

4.74.7

Credible rating

Fixed (APR)

6.49% -

Loan Amounts

$10,000 - $750,000

Min. Credit Score

Does not disclose

Check Rates

on Credible’s website

View Details

Overview

Citizens offers student loan refinancing to qualifying borrowers who refinance at least $10,000 in student loan debt.

Undergraduate borrowers can refinance up to $300,000 in student loans, while those who borrowed for graduate or professional degrees have higher limits of $500,000 or $750,000. Citizens offers fixed and variable rates and repayment terms between five and 20 years.

If you’re a medical resident, you can refinance your student loans and only pay $100 per month for up to four years while completing your residency or fellowship.

Interest rates

Fixed or variable

Minimum credit score

700

Minimum income

Does not disclose

Loan terms

5, 7, 10, 15, or 20 years

Loan amounts

$10,000 minimum, with a maximum of $300,000 for bachelor’s degree or below; $500,000 for graduate degrees; and $750,000 for professional degrees

Cosigner release

36 months

Eligibility

Must refinance at least $10,000 in student loans and be a U.S. citizen, permanent resident, or resident alien with a valid U.S. Social Security number. Must have earned at least a bachelor's degree to qualify.

Read full review

All APRs reflect autopay and loyalty discounts where available | LightStream disclosure | SoFi Disclosures | Read more about Rates and Terms

3. Sign up for an income-driven repayment plan

If your student loan balance exceeds your income, or if you simply can’t afford your monthly payments, consider applying for an income-driven repayment (IDR) plan. The Department of Education offers four different plans:

  • Income-Based Repayment
  • Income-Contingent Repayment
  • Pay As You Earn
  • Repay As You Earn

With these plans, the loan servicer extends your repayment term from 10 years to 20 or 25 years. The servicer will also set your monthly payment at a percentage of your discretionary income. Some people qualify for payments as low as $5. An IDR plan is a great way to reduce your monthly payments so you have more breathing room in your budget.

You canapply for an IDR plan online.

4. Pursue loan forgiveness

If you have $30,000 in student loans, you may havechosen a career as a teacheror in public service. If that’s the case, you may be eligible for loan forgiveness through one of two programs:

Public Service Loan Forgiveness

With Public Service Loan Forgiveness (PSLF), you can qualify for loan forgiveness if you work for a non-profit organization or government agency while making payments on your loans. If you work for a qualifying employer for 10 years and make 120 monthly payments, the government will forgive your remaining loan balance, tax-free.

Teacher Loan Forgiveness

If you teach full-time for at least five consecutive years, you can get up to $17,500 of your loans forgiven through Teacher Loan Forgiveness.

To be eligible you must:

  • Have federal Direct Subsidized or Unsubsidized Loans
  • Have been employed as a full-time teacher for five full and consecutive years
  • Teach at an elementary school, secondary school, or educational service agency that works with low-income students
  • Have taken out the loans before you finished the required years of teaching

To apply for Teacher Loan Forgiveness, fill out theTeacher Loan Forgiveness applicationand send it to your loan servicer.

Paying off your student loans

Now that you know how to pay off $30,000 in student loans, you can come up with an action plan that works for you.

If you decide to refinance your education debt to accelerate your repayment, check out thebest student loan refinance companies.

Find out if refinancing is right for you

See Your Refinancing Options

Credible is 100% Free!

Excellent7,259 reviews onTrustpilot

Meet the expert:

Kat Tretina

Kat Tretina is a freelance writer specializing in personal finance. Her work has been published in The Wall Street Journal's Buy Side, U.S. News, and Money.com.

How to Pay Off $30,000 in Student Loans (2)How to Pay Off $30,000 in Student Loans (3)How to Pay Off $30,000 in Student Loans (4)

How to Pay Off $30,000 in Student Loans (2024)

FAQs

How to Pay Off $30,000 in Student Loans? ›

Let's assume you owe $30,000, and your blended average interest rate is 6%. If you pay $333 a month, you'll be done in 10 years. But you can do better than that. According to our student loan calculator, you'd need to pay $913 per month to put those loans out of your life in three years.

How long will it take to pay off 30K in student loans? ›

Let's assume you owe $30,000, and your blended average interest rate is 6%. If you pay $333 a month, you'll be done in 10 years. But you can do better than that. According to our student loan calculator, you'd need to pay $913 per month to put those loans out of your life in three years.

How long does it take to pay off a $30,000 dollar loan? ›

It will take 41 months to pay off $30,000 with payments of $1,000 per month, assuming the average credit card APR of around 18%. The time it takes to repay a balance depends on how often you make payments, how big your payments are and what the interest rate charged by the lender is.

How to pay off $30K debt in one year? ›

The 6-step method that helped this 34-year-old pay off $30,000 of credit card debt in 1 year
  1. Step 1: Survey the land. ...
  2. Step 2: Limit and leverage. ...
  3. Step 3: Automate your minimum payments. ...
  4. Step 4: Yes, you must pay extra and often. ...
  5. Step 5: Evaluate the plan often. ...
  6. Step 6: Ramp-up when you 're ready.

Is 30000 student debt bad? ›

Nearly eight in ten students graduate with less than $30,000 in debt. Among those who do borrow, the average debt at graduation is $27,400 — or $6,850 for each year of a four-year degree at a public university.

How much is a monthly payment on a $30,000 student loan? ›

Example Monthly Payments on a $30,000 Student Loan
Payoff periodAPRMonthly payment
1 year6%$2,582
3 years6%$913
5 years6%$580
7 years6%$438
2 more rows
Sep 23, 2021

How much does the average American owe in student loans? ›

The average student loan debt for bachelor's degree recipients was $29,400 for the 2021-22 school year, according to the College Board. Among all borrowers, the average balance is $38,290, according to mid-2023 data from Experian, one of the three national credit bureaus.

How hard are student loans to pay off? ›

Student loan debt can feel overwhelming and take decades to pay off. The standard federal student loan repayment term is 10 years, but the average student borrower takes 20 years to fully repay their debt.

What does your credit score have to be to get a $30000 loan? ›

FAQ: $30,000 Personal Loans

Generally, a score of 670 or higher is recommended to access better interest rates and terms. However, some lenders may accept lower scores but will compensate for the increased risk with higher interest rates and less favorable terms.

How to pay off $10,000 fast? ›

7 ways to pay off $10,000 in credit card debt
  1. Opt for debt relief.
  2. Use the snowball or avalanche method.
  3. Find ways to increase your income.
  4. Cut unnecessary expenses.
  5. Seek credit counseling.
  6. Use financial windfalls.
Feb 15, 2024

Is 20k in debt a lot? ›

“That's because the best balance transfer and personal loan terms are reserved for people with strong credit scores. $20,000 is a lot of credit card debt and it sounds like you're having trouble making progress,” says Rossman.

How to clear 20k debt fast? ›

Use a debt consolidation loan

With a debt consolidation loan, you borrow money from a lender and roll all of those debts into one loan with a single interest rate. This allows you to make one monthly payment rather than paying multiple creditors.

How can I pay off $6000 in debt fast? ›

Pay off your debt and save on interest by paying more than the minimum every month. The key is to make extra payments consistently so you can pay off your loan more quickly. Some lenders allow you to make an extra payment each month specifying that each extra payment goes toward the principal.

How to pay off $30,000 in student loans in 2 years? ›

How to Pay Off $30,000 in Student Loans
  1. Make extra payments.
  2. Refinance your debt.
  3. Sign up for an income-driven repayment plan.
  4. Pursue loan forgiveness.
  5. Paying off your student loans.

What is the average student debt for a 25 year old? ›

Federal Student Loan Debt by Age

Federal borrowers 24 years old and younger owe an average of $14,563. Federal debt among 24-and-under borrowers has declined 6.7% since 2017. Federal borrowers aged 25 to 34 owe an average debt of $32,947.

What is the average age people pay off student loans? ›

A 2019 study from New York Life found that the average age when people finally pay off their student loans for good is 45.

Is $30 000 in student loans a lot? ›

While $30,000 is about average for student debt, you can take steps to pay it off sooner than average.

How long to pay off $35,000 student loan? ›

A $35,000 student loan balance with an average interest rate of 6.8% paid over a 10 year term will have a monthly payment of $403. In total, the loan will cost $48,334 with $13,334 in interest.

How long will it take to pay off $35,000 in student loans? ›

Cost of Repaying Loans
Loan BalanceInterest RateTime For Repayment
$50,0004.99%10 years
$60,0007.5%20 years
$10,0005.5%15 years
$35,0006%15 years
Jan 13, 2023

How long does it take to pay off 25k in student loans? ›

On average, it takes about 10–20 years to pay off a student loan. But with the right strategy, you can pay off your loans way faster! (I'm about to blow your mind.) Exactly how long it will take you to pay off your student loans depends on your original loan balance, your repayment plan and how much you pay each month.

Top Articles
Latest Posts
Recommended Articles
Article information

Author: Prof. Nancy Dach

Last Updated:

Views: 6110

Rating: 4.7 / 5 (57 voted)

Reviews: 80% of readers found this page helpful

Author information

Name: Prof. Nancy Dach

Birthday: 1993-08-23

Address: 569 Waelchi Ports, South Blainebury, LA 11589

Phone: +9958996486049

Job: Sales Manager

Hobby: Web surfing, Scuba diving, Mountaineering, Writing, Sailing, Dance, Blacksmithing

Introduction: My name is Prof. Nancy Dach, I am a lively, joyous, courageous, lovely, tender, charming, open person who loves writing and wants to share my knowledge and understanding with you.