Student Loan Calculator

Student loans in the United States come from two broad sources: the government, mainly through the federal Direct Loan program and some state agencies, and private lenders such as banks, credit unions and online lenders. Federal loans carry fixed rates set by law, flexible repayment plans and borrower protections that private loans generally do not match, so most families exhaust federal options before borrowing privately.

The three calculators above cover the life cycle of a loan: projecting what you will owe by graduation, finding the payment on a balance, and testing whether extra payments are worth it. For the payment calculator, fill in any three values and leave the one you want blank.

Federal Student Loan

Federal student loans are made by the U.S. Department of Education under the William D. Ford Federal Direct Loan Program. Eligibility starts with the Free Application for Federal Student Aid (FAFSA), which schools use to build your aid package. Most federal loans do not require a credit check, and rates are fixed for the life of each loan.

Direct Subsidized Loans are for undergraduates with financial need; the government pays the interest while you are enrolled at least half-time, during the six-month grace period and during deferment. Direct Unsubsidized Loans are available to undergraduate and graduate students regardless of need, but interest accrues from the day the money is paid out. Direct PLUS Loans let parents of dependent undergraduates borrow up to the cost of attendance minus other aid, subject to a check for adverse credit history. Direct Consolidation Loans combine several federal loans into one.

Interest rates are reset each July 1 for new loans, based on the 10-year Treasury note auction in May. For loans first disbursed between July 1, 2025 and June 30, 2026, the rates were 6.39% for undergraduates, 7.94% for graduate unsubsidized loans and 8.94% for PLUS loans. Each disbursement also carries an origination fee, currently 1.057% for Direct Subsidized and Unsubsidized Loans and 4.228% for PLUS loans.

Annual and lifetime limits apply. A dependent undergraduate can borrow $5,500 in the first year, $6,500 in the second and $7,500 in later years, up to $31,000 in total, of which no more than $23,000 may be subsidized. Federal law enacted in 2025 changed graduate and parent borrowing for loans made after July 1, 2026, ending Grad PLUS for new borrowers and setting new caps, so check studentaid.gov for the rules that apply to your loans.

Payment = B × r ÷ [1 − (1 + r)⁻ⁿ]

B

loan balance when repayment starts, including any capitalized interest

r

monthly interest rate (annual rate ÷ 12)

n

number of monthly payments

Unsubsidized federal loans and most private loans accrue interest while you are in school. If you do not pay it, it is capitalized (added to the balance) when repayment begins, so you then pay interest on that interest.

State Student Loan

Several states run their own education loan programs, usually through a state higher education authority or a nonprofit agency. Examples include programs in Massachusetts, Minnesota, Texas, Alaska and New Jersey. They are designed to fill the gap between federal aid and the cost of attendance, often at rates below many private lenders.

State loans are typically limited to residents or to students attending school in the state, and most require a credit check or a creditworthy cosigner. Terms vary widely: some offer fixed rates and income-sensitive repayment, while others behave much like private loans. Some states also offer loan forgiveness or repayment assistance for graduates who work in high-need fields such as teaching, nursing or rural medicine.

Compare a state loan's rate, fees and repayment flexibility against both federal unsubsidized loans and private offers before borrowing.

Private Student Loan

Private student loans come from banks, credit unions, online lenders and some schools. Approval and pricing are based on credit, so most undergraduates need a cosigner, usually a parent. Rates can be fixed or variable and depend heavily on the borrower's and cosigner's credit scores; the strongest applicants may beat federal rates, while others pay far more.

Private loans lack most federal protections. They are not eligible for income-driven repayment, Public Service Loan Forgiveness or federal deferment and forbearance rules, and hardship options vary by lender. A cosigner is fully responsible for the debt, and some lenders allow a cosigner release only after a set number of on-time payments.

Because of these differences, financial aid offices generally recommend borrowing privately only after using grants, scholarships, work-study, savings and federal loans. If you do borrow privately, compare annual percentage rates across several lenders, look for origination or late fees, ask how long the in-school deferment lasts and whether interest must be paid while enrolled, and check the cap on any variable rate.

Many lenders certify private loans through the school, which helps ensure you do not borrow more than the cost of attendance minus other aid. Borrowing only what you need is the single most effective way to keep future payments affordable.

Student Loan Repayment Options

Federal loans offer several repayment plans, and you can usually switch plans as your circumstances change. The table summarizes the main options; new loans made after July 1, 2026 are limited to a revised standard plan and the new Repayment Assistance Plan.

Paying extra. Federal and private student loans have no prepayment penalties. Any payment above the amount due first covers accrued interest, then reduces principal. Ask the servicer to apply extra amounts to the highest-rate loan, and to keep your regular due date rather than advancing it. The repayment calculator shows how much an extra $150 a month saves on a $30,000 balance at 6.8%: the loan ends 3 years and 8 months early and costs $4,421.28 less in interest.

Forgiveness. Public Service Loan Forgiveness cancels the remaining federal Direct Loan balance after 120 qualifying monthly payments while working full-time for a government or qualifying nonprofit employer. Teachers in low-income schools may qualify for up to $17,500 through Teacher Loan Forgiveness. Income-driven plans forgive any balance left at the end of their term, and loans are discharged if the borrower dies or becomes totally and permanently disabled.

Deferment and forbearance. Both pause or reduce payments temporarily, for example during unemployment, economic hardship, military service or a return to school. Interest generally continues to accrue on unsubsidized loans, so use them sparingly.

Refinancing. Replacing federal loans with a private loan can lower the rate for borrowers with strong credit and income, but it permanently gives up federal plans and forgiveness. Refinancing existing private loans carries no such trade-off.

Missing payments has serious consequences. Federal loans go into default after 270 days, which can lead to wage garnishment and seizure of tax refunds. If you are struggling, contact your servicer early; changing plans is almost always better than missing payments.

Frequently asked questions

Sources

• Federal Student Aid – Interest rates and fees
• Federal Student Aid – Repayment plans
• CFPB – Paying for college