Enter your current student loan details and a refinance offer to see how much you could save each month and over the life of the loan.
Refinancing a student loan means taking out a brand-new private loan to pay off one or more existing student loans, ideally at a lower interest rate or with a different repayment term. This calculator compares your current loan's monthly payment and total interest against a new refinance offer so you can see the real dollar impact before you apply.
Monthly payments are calculated with the standard loan amortization formula:
M = P × [r(1+r)n] / [(1+r)n − 1]
Where P is the loan balance, r is the monthly interest rate (annual rate ÷ 12), and n is the number of monthly payments. Total interest paid is the sum of all payments minus the original balance.
Suppose you owe $35,000 at 6.8% with 10 years left, and a lender offers 4.9% over the same 10-year term with no fees. Your current payment is about $402/month with roughly $13,240 in total interest remaining. At 4.9%, the new payment drops to about $370/month with about $9,400 in total interest — a savings of roughly $32/month and $3,800 over the life of the loan.
Refinancing federal student loans with a private lender means giving up federal protections such as income-driven repayment plans, deferment, forbearance, and Public Service Loan Forgiveness eligibility. This calculator shows only the pure dollar math; weigh the loss of those federal benefits before you decide.
A new private loan (ideally at a lower rate) pays off existing loans, potentially reducing payments or interest.
It typically forfeits federal protections like income-driven repayment and forgiveness programs.
Comparing remaining payments under current loans versus the new loan's projected payments.