Before you borrow
The best time to manage student debt is before you sign. A widely used guideline is to keep total student debt at or below your expected first-year salary, which keeps payments on a 10-year plan around 10% to 12% of gross income. The student loan affordability calculator turns a starting salary into a borrowing limit, and the 529 calculator shows how much saving ahead reduces what you need to borrow.
While you're repaying
- See your monthly payment and total interest with the student loan calculator.
- Find out how much an extra $50 or $100 a month saves with the student loan payoff calculator.
- Understand how interest accrues each day, and what capitalization costs, with the student loan interest calculator.
Changing your loans
Consolidation combines federal loans into one Direct Consolidation Loan at a weighted-average rate; it simplifies payments but doesn't lower your rate. Refinancing replaces loans with a new private loan at a new rate, which can save money but ends federal benefits. Compare both with the consolidation calculator and the refinance calculator.
Federal vs private student loans
| Federal loans | Private loans | |
|---|---|---|
| Interest rate | Fixed, set by law each year | Fixed or variable, based on credit |
| Income-driven repayment | Yes | Rarely |
| Forgiveness programs (e.g. PSLF) | Yes | No |
| Deferment and forbearance | Broad options | Limited, lender-specific |
| Credit check | No (except PLUS loans) | Yes, often with a cosigner |