- Refinancing student loans means taking out a new loan to replace your old ones, usually at a lower interest rate.
- If you have private loans with a high interest rate, if your credit score has increased since you took out your last loans, or if you need a lower monthly payment now, you might want to look at refinancing.
- However, refinancing may lengthen the number of years you make payment on your loans, meaning you’ll pay more overall.
- If you have federal loans, note that refinancing will turn them into private loans, losing benefits like loan forgiveness and income-driven repayment plans.
- read more >>>