Federal Loans
Government-backed · Income-based repayment · Forgiveness eligible
Private Loans
Supplement federal · Lower rates for good credit · No federal protections
Refinancing
Lower your rate after graduation · Avg save $287/mo · Private only
FIN.
AVE
ASSIST
SoFi student loan refinancing — $287/month average savings
Check your rate in 60 seconds without affecting your credit. Members also get career coaching, financial planning, and unemployment protection at no extra cost.
🏛️ Federal Student Loans
Government-backed · Always borrow federal first
🏦 Private Student Loans
Supplement federal aid · Can be cheaper with good credit
Repayment Options for a $35,000 Federal Loan
Choose the plan that fits your income and goals
Public Service Loan Forgiveness (PSLF)
Work for a qualifying government or nonprofit employer, make 120 payments on an income-driven plan, and the remainder is forgiven tax-free.
Check PSLF Eligibility →SAVE Plan (Income-Driven)
Caps payments at 5–10% of discretionary income. Balances forgiven after 10–25 years depending on original loan amount. Subsidized interest.
Apply for SAVE →Teacher Loan Forgiveness
Teach 5 consecutive years at a low-income school. Forgives up to $17,500 in direct subsidized and unsubsidized loans.
Teacher Program Details →Nurse & Medical Forgiveness
NHSC and similar programs forgive up to $50,000 for healthcare providers who work in underserved areas for 2+ years.
Healthcare Programs →
How SoFi Members Save an Average of $287/Month on Student Loans
Real stories from borrowers who refinanced and unlocked financial freedom faster.
PSLF in 2026: What's Changed, Who Qualifies, and How to Apply
The rules shifted significantly. Here's the updated guide for public servants seeking loan cancellation.
Should You Refinance Federal Student Loans? The 2026 Answer
Refinancing can save thousands — but you permanently lose federal protections. We explain when it makes sense.
Earnest: The Student Loan Lender That Lets You Set Your Own Payment
The only lender where you can customize your exact monthly payment. Check your rate in 2 minutes.
Refinancing student loans can be one of the highest-value financial moves you make in your 20s — or one of the biggest mistakes. The deciding factor is whether you have federal loans and whether you'll ever need federal protections.
Refinance makes sense when:
- You have private loans only — you lose nothing by refinancing
- Your credit has improved significantly since graduation
- You have a stable income and won't need income-driven repayment
- You don't work in public service or pursue PSLF
- The rate savings exceed the loss of federal benefits in your situation
Never refinance federal loans if:
- You're on an income-driven plan and struggling with payments
- You work in public service and may qualify for PSLF
- You're a teacher, nurse, or government employee near forgiveness
- Your balance is high relative to income — forgiveness may be more valuable
Yes — in almost every case. Federal loans offer fixed rates, income-driven repayment options, forgiveness programs, and deferment/forbearance protections that private loans don't. Even if a private lender offers a lower rate, exhaust all federal options (subsidized first, then unsubsidized) before turning to private loans. The exception: graduate students and parents may find private loans competitive with PLUS loan rates (currently 9.08%).
For federal loans: apply for an income-driven repayment plan (SAVE, IBR, PAYE) to lower your payment, or request deferment/forbearance temporarily. For private loans: contact your lender immediately — most offer hardship forbearance. If you refinanced federal loans to private, you lose all federal protections. Default occurs after 270 days of non-payment on federal loans and damages your credit significantly, so act well before that point.
Yes, but it permanently converts them to private loans. You'd lose income-driven repayment eligibility, forgiveness program access, and federal deferment options. It's irreversible. This can make sense if you have a stable, high income, work in the private sector, and the rate savings justify forfeiting those protections. Never refinance if you're on track for PSLF or an income-driven forgiveness plan — the math almost never works out.
Most undergraduate students don't have enough credit history to qualify for private loans on their own — a co-signer (typically a parent) greatly improves approval odds and rates. Graduate students and professionals with established credit often qualify independently. Look for lenders that offer co-signer release after 24–48 months of on-time payments, so your parent isn't tied to the loan indefinitely. Earnest, College Ave, and SoFi all offer co-signer release.