Complete the FAFSA and review grants, scholarships, savings, school aid, and eligible federal loans before using private credit.
Separate federal and private debt
List each loan, rate, balance, type, remaining term, and benefit. Refinancing federal loans into a private loan ends access to federal repayment plans, forgiveness possibilities, and federal relief associated with those loans.
Compare the same payoff date
A refinance offer can lower the payment by extending the term. Model total repayment using the current remaining term and the proposed term. If the new term is longer, calculate both the cash-flow benefit and added interest.
Calculate break-even
Add any fee or lost benefit value, then divide by expected monthly savings. If the break-even point is later than the expected payoff or another likely change, the refinance may not deliver the expected value.
Stress income and rates
For variable-rate refinancing, model a higher-rate scenario. For every offer, consider unemployment, reduced income, disability, and servicing support. Approval today does not ensure another refinancing opportunity later.
Verify before replacing the loans
Confirm the final rate, term, fee, payment schedule, payoff processing, autopay condition, and first payment date. Keep proof that the old loans were fully paid and continue checking until each shows a zero balance.
Primary sources
Sources were checked during the September 11, 2026 review. Provider terms and federal rules can change.
Next decision
Use a calculator to test the amount and full cost, then compare public lender features. Final eligibility, rate, and loan terms come only from the authorized provider.