Can I undo a refinance?

No. Once a federal loan is refinanced privately the federal protections are gone permanently. There is no mechanism to convert a private loan back.

When does refinancing make sense?

A stable high income, no realistic forgiveness prospect, and a meaningful rate reduction. Anyone who might need income-driven repayment should think hard first.

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Student Loan Refinance Calculator

Student loan refinancing saving. Refinancing a federal loan with a private lender permanently forfeits income-driven repayment, forgiveness eligibility and the deferment protections, and that decision cannot be reversed.

Also called: refinance student loans calculator, student loan consolidation.

Total saving

$3,983.20

$3,983.20 saved over the term: $41.49 a month, from $609.05 to $567.56. These are federal loans. Refinancing privately permanently forfeits income-driven repayment, forgiveness eligibility and deferment rights, and cannot be reversed.

Monthly saving

$41.49

Current payment

$609.05

New payment

$567.56

Interest on the current loan

$13,468.62

Interest on the new loan

$9,485.42

Saving net of forgiveness given up

$3,983.20

On federal protections

These are federal loans. Refinancing privately permanently forfeits income-driven repayment, forgiveness eligibility and deferment rights, and cannot be reversed.

How this is calculated

Method and background

This is what the calculation gives for the numbers you entered. It is an estimate, not advice, and it knows nothing about your situation beyond those numbers. Rules for United States change on a published schedule; the effective date is shown on every rule-based tool.

How this is calculated

The interest saving is straightforward arithmetic. What matters more is what is given up. Federal loans carry income-driven repayment plans, forgiveness programmes including public service forgiveness, deferment and forbearance rights, and discharge on death or disability. A private refinance replaces all of that with a commercial contract, and there is no route back. For a borrower with a stable high income and no forgiveness prospect the trade can be sound; for anyone who might need those protections it usually is not.

the arithmetic is simple; what it omits is what refinancing a federal loan permanently forfeits

P: Payments

Worked examples

Each of these is asserted on every build. If a change to the engine ever moved one of these answers, the build would fail before the page could print it.

refinancing from 6.8 to 4.9 percent

Balance to refinance: $45,000.00
Current rate: 6.8%
Years remaining: 8
New rate offered: 4.9%
New term: 8
These are federal loans: Yes
Forgiveness you would give up: $0.00

Total saving$3,983.20

Standard amortisation at each rate over 96 months

Open this example

the same rate saves nothing

Balance to refinance: $45,000.00
Current rate: 6.8%
Years remaining: 8
New rate offered: 6.8%
New term: 8
These are federal loans: No
Forgiveness you would give up: $0.00

Total saving$0.00

boundary

Open this example

Method and limits

What it assumes

Both loans held to their stated terms.

What it deliberately does not model

The forgiveness value depends entirely on your career path and cannot be estimated generically.
Variable rate refinances carry rate risk the comparison does not show.
This is a comparison, not advice on whether to refinance.

Formula version 1.0.0 · definition 1.0.0 · United States · Report a problem with this calculator

Frequently asked questions

Can I undo a refinance?: No. Once a federal loan is refinanced privately the federal protections are gone permanently. There is no mechanism to convert a private loan back.
When does refinancing make sense?: A stable high income, no realistic forgiveness prospect, and a meaningful rate reduction. Anyone who might need income-driven repayment should think hard first.