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.
[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.
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
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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.
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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 credit score
680
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.
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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
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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.
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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
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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.
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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.
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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.
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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
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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.
