How to Pay Off $150,000+ in Student Loans

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Paying off a $150,000 student loan balance can be a major challenge. Under a standard 10-year plan, your payments could end up being very high and difficult to manage. If you had a 7% interest rate under this plan, you’d be paying almost $2,000 or more each month.

Loan Balance	Monthly Payment	Total Repaid
$150,000	$1,742	$208,995
$250,000	$2,903	$348,325
$350,000	$4,064	$487,655
$450,000	$5,225	$626,985

The good news is there are several strategies that could help you more easily manage your student loan debt.

Here’s how to pay off $150,000 in student loans:

Refinance your student loans
Add a creditworthy cosigner
Pay off the loan with the highest interest rate first
See if you’re eligible for an income-driven repayment plan
Consider student loan forgiveness

1. Refinance your student loans

Best for:

Borrowers with decent credit
Borrowers with high interest rates
Borrowers who want to combine loans

How long will it take to pay off $150k: If you refinance your student loans, your repayment time will mainly depend on the loan term you choose. For example, if you refinance with one of Credible’s partner lenders, you could have five to 20 years to pay off your loan.

Keep in mind that it’s usually a good idea to choose the shortest repayment term you can afford to save as much as possible on interest. However, if you need a smaller monthly payment, extending your repayment term might be the better option for your budget — though remember that you’ll pay more in interest if you pick a longer term.

Student loan refinancing lets you take out a new loan to pay off your existing loans — leaving you with just one loan and payment to manage. Depending on your credit, you might qualify for a lower interest rate through refinancing, which could help you save money and even pay off your loan faster.

Or you could choose to extend your repayment term to reduce your monthly payments, though this means you’ll pay more in interest over time.

Ultimately, your refinancing savings will mainly depend on the rate you qualify for and the loan term you pick.

For example, if you were able to reduce your interest rate from 7% to 4% on a $150,000 student loan with a 10-year term, you could save $223 per month and $26,754 over the life of the loan.

Keep in mind: While you can refinance both federal and private student loans, refinancing federal student loans will cost you your federal protections — such as access to income-driven repayment plans and student loan forgiveness programs.

You’ll also no longer qualify for the suspension of federal payments and interest accrual under the CARES Act due to the COVID-19 pandemic.

You can use our calculator below to see how much you can save by refinancing your student loans.

Step 1. Enter your loan balance

Loan balance ?Enter the remaining amount of the loans you’d like to refinance $

Step 2. Enter current loan information

2. Add a creditworthy cosigner

Best for:

Borrowers with less-than-perfect credit
Borrowers who can qualify for a lower interest rate with a cosigner

How long will it take to pay off $150k: This will depend on the loan term you choose. Also keep in mind that while private loans typically come with terms ranging from five to 20 years, longer terms might not be available to you if you have poor credit.

You’ll typically need a good to excellent credit score to qualify for refinancing. While some lenders offer student loan refinancing with bad credit, these loans tend to come with higher interest rates compared to good credit loans.

However, refinancing with a cosigner could improve your chances of getting approved. Even if you don’t need a cosigner to qualify, having one might get you a lower interest rate than you’d get on your own.

Tip: There’s no limit to how often you can refinance. For example, if you improve your credit and can qualify for a lower interest rate, you could refinance again for better terms in the future.

If you decide to refinance your student loans — with or without a cosigner — be sure to consider as many student loan refinance companies as possible. This way, you can find the right loan for you. Credible makes this easy — you can compare your prequalified rates from our partner lenders in the table below in two minutes.

Lender	Fixed rates from (APR)	Variable rates from (APR)	Min. credit score
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	3.99%+	5.35%+	720
Fixed APR: 3.99%+ Variable APR: 5.35%+ Min. credit score: 720 Loan amount: $10,000 to $400,000 Loan terms (years): 5, 7, 10, 15, 20 Repayment options: Military deferment, forbearance Fees: Late fee Discounts: Autopay Eligibility: Must have a credit score of at least 720, a minimum income of $60,000, and must be a resident of Texas Customer service: Email, phone Soft credit check: 720 Cosigner release: No Loan servicer: Firstmark Services Max. Undergraduate Loan Balance: $100,000 - $149,000 Max. Graduate Loan Balance: $200,000 - $400,000 Offers Parent PLUS Refinancing: Does not disclose
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	5.89%+¹	7.02%+¹	Does not disclose
Fixed APR: 5.89%+¹ Variable APR: 7.02%+¹ Min. credit score: Does not disclose Loan amount: $10,000 to $750,000 Loan terms (years): 5, 7, 10, 15, 20 Repayment options: Immediate repayment, academic deferment, military deferment, forbearance, loans discharged upon death or disability Fees: Late fee Discounts: Autopay, loyalty Eligibility: Must be a U.S. citizen or permanent resident and have at least $10,000 in student loans Customer service: Email, phone, chat Soft credit check: Yes Cosigner release: After 24 to 36 months Loan servicer: Firstmark Services Max. Undergraduate Loan Balance: $100,000 to $149,000 Max. Graduate Loan Balance: Less than $150,000 Offers Parent PLUS Refinancing: Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.99%+²	6.99%+²	Does not disclose
Fixed APR: 6.99%+² Variable APR: 6.99%+² Min. credit score: Does not disclose Loan amount: $5,000 to $300,000 Loan terms (years): 5, 7, 10, 12, 15 Repayment options: Military deferment, forbearance, loans discharged upon death or disability Fees: Late fee Discounts: Autopay Eligibility: All states except for ME Customer service: Email, phone, chat Soft credit check: Yes Cosigner release: After 24 to 36 months Loan servicer: College Ave Servicing LLC Max. Undergraduate Loan Balance: $100,000 to $149,000 Max. Graduate Loan Balance: Less than $300,000 Offers Parent PLUS Refinancing: Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.0%+⁵	8.07%+⁵	700
Fixed APR: 6.0%+⁵ Variable APR: 8.07%+⁵ Min. credit score: 700 Loan amount: $7,500 to $200,000 Loan terms (years): 5, 10, 15, 20 Repayment options: Immediate repayment, academic deferment, forbearance, loans discharged upon death or disability Fees: None Discounts: Autopay Eligibility: Must be a U.S. citizen or permanent resident and submit two personal references Customer service: Email, phone Soft credit check: Yes Cosigner release: After 24 months Loan servicer: Firstmark Services Max. Undergraduate Loan Balance: $150,000 to $249,000 Max. Graduate Loan Balance: $150,000 to $199,000 Offers Parent PLUS Refinancing : Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	4.84%+³	5.28%+³	680
Fixed APR: 4.84%+³ Variable APR: 5.28%+³ Min. credit score: 680 Loan amount: $10,000 to $250,000 Loan terms (years): 5, 7, 10, 15, 20 Repayment options: Forbearance Fees: None Discounts: None Eligibility: Must be a U.S. citizen or permanent resident, have at least $15,000 in student loan debt, and have a bachelor’s degree or higher from an approved school Customer service: Email, phone Soft credit check: Yes Cosigner release: No Loan servicer: Mohela Max. Undergraduate Loan Balance: $250,000 Max. Graduate Loan Balance: $250,000 Offers Parent PLUS Refinancing: Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.15%+⁴	8.5%+⁴	670
Fixed APR: 6.15%+⁴ Variable APR: 8.5%+⁴ Min. credit score: 670 Loan amount: $5,000 to $250,000 Loan terms (years): 5, 10, 15, 20 Repayment options: Academic deferment, military deferment, forbearance Fees: Late fee, returned payment fee Discounts: Autopay Eligibility: Must be U.S. citizen or permanent resident Customer service: Email, phone, chat Soft credit check: Yes Cosigner release: Yes Max undergraduate loan balance: $250,000 Max graduate loan balance: $250,000 Offers Parent PLUS refinancing: Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.94%+ ⁷	N/A	670
Fixed APR: 6.94%+ ⁷ Variable APR: N/A Min. credit score: 670 Loan amount: Up to $300,000 Loan terms (years): 5, 7, 10, 15, 20 Time to fund: Usually one business day Repayment options: Academic deferral, military deferral, forbearance, death/disability discharge Fees: None Discounts: Autopay Eligibility: Available in all 50 states Customer service: Email, phone Soft credit check: Yes Cosigner release: After 24 months Max. undergraduate loan balance: $300,000 Max. graduate balance: $300,000 Offers Parent PLUS loans: Yes Min. income: None
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	5.24%+	5.54%+	700
Fixed APR: 5.24%+ Variable APR: 5.54%+ Min. credit score: 700 Loan amount: $5,000 to $300,000 Loan terms (years): 5, 7, 10, 15 Max. undergraduate Loan Balance: $125,000 Time to Fund: 10 to 30 days Repayment options: Immediate repayment, forbearance Fees: Late fee Discounts: Autopay Eligibility: Must be a U.S. citizen or permanent resident and have already graduated with at least an associate degree from an eligible institution Customer service: Email, phone Soft credit check: Yes Cosigner release: After 12 months Loan servicer: LendKey Technologies Inc. Max. graduate Loan Balance: $175,000 Credible Review: LendKey Student Loans review Offers Parent PLUS Refinancing: No
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.2%+	N/A	670
Fixed APR: 6.2%+ Variable APR: N/A Min. credit score: 670 Loan amount: $10,000 up to the total amount Loan terms (years): 7, 10, 15 Repayment options: Military deferment, loans discharged upon death or disability Fees: None Discounts: None Eligibility: Must be a U.S. citizen or permanent resident and have at least $10,000 in student loans Customer service: Email, phone Soft credit check: Yes Cosigner release: No Loan servicer: AES Max. Undergraduate Loan Balance: No maximum Max. Gradaute Loan Balance: No maximum Offers Parent PLUS Refinancing: Yes
Credible Rating Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology. View details	6.34%+	N/A	680
Fixed APR: 6.34%+ Variable APR: N/A Min. credit score: 680 Loan amount: $7,500 to $250,000 Loan terms (years): 5, 10, 15 Repayment options: Academic deferment, military deferment, forbearance, loans discharged upon death or disability Fees: None Discounts: Autopay Eligibility: Available in all 50 states; must also have at least $7,500 in student loans and a minimum income of $40,000 Customer service: Email, phone Soft credit check: Does not disclose Cosigner release: No Loan servicer: Rhode Island Student Loan Authority Max. Undergraduate Loan Balance: $150,000 - $249,000 Max. Graduate Loan Balance: $200,000 - $249,000 Offers Parent PLUS Refinancing: Yes
Ready to see how much you can save?Get Rates
All APRs reflect autopay and loyalty discounts where available \| ¹Citizens Disclosures \| 2College Ave Disclosures \| 5EDvestinU Disclosures \| ³ ELFI Disclosures \| 4INvestEd Disclosures \| 7ISL Education Lending Disclosures \| 8Nelnet Bank Disclosures

Check Out: How to Find Your Student Loan Balance

3. Pay off the loan with the highest interest rate first

Best for:

Borrowers who are motivated by savings
Borrowers who can afford extra payments
Borrowers who want to pay off debt quickly

How long will it take to pay off $150k: If you have multiple student loans and can make extra payments, paying off the loan with the highest interest rate first could save you money on interest and even help you pay off your student loans early.

How long this method will take will depend on your repayment term and how many additional payments you can afford to make.

Tackling your debt by focusing on the loan with the highest interest rate first can help you save the most money on overall interest charges. As you repay this loan, continue making minimum payments on your other loans while putting extra money toward the highest-interest loan.

Once this loan is paid off, you’ll move on to the loan with the next-highest interest rate — continuing until all of your loans are repaid. This is commonly known as the debt avalanche method.

Tip: The main benefit of prioritizing high-interest debt is that it can lead to long-term savings. However, it can also take a long time for you to see the fruits of your repayment effort.

If you’re more motivated by small wins, you might consider the debt snowball method instead.

If you’re wondering how long it’ll take to pay off your student loans, enter your current loan information into the calculator below to find out. Use the slider to see how increasing your payments can change the payoff date.

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4. See if you’re eligible for an income-driven repayment plan

Best for:

Borrowers struggling to keep up with payments on federal student loans
Borrowers who have a high federal student loan balance compared to their income

How long will it take to pay off $150k: If you sign up for an income-driven repayment (IDR) plan, your payments will be based on your income. This could get you a significantly lower monthly payment but will also extend your repayment term.

Depending on which IDR plan you choose, you could have any remaining balance forgiven after 20 to 25 years.

IDR plans are a benefit that almost any federal student loan borrower can take advantage of. Under these plans, your payments are calculated as a percentage of your discretionary income. There are four IDR plans to choose from:

Pay As You Earn (PAYE): This plan is available to borrowers who can demonstrate financial hardship. Under the PAYE plan, your payments are capped at 10% of your discretionary income and can’t be higher than what you’d pay on the standard repayment plan. Any remaining balance could be forgiven after 20 years of payments.
Revised Pay As You Earn (REPAYE): This plan is available for almost any federal student loan besides Parent PLUS Loans. Under this plan, payments are generally limited to 10% of your discretionary income — though unlike other IDR plans, there’s no cap on how high they can be. Any remaining balance could be forgiven after 20 to 25 years, depending on whether you took out your loans for undergraduate or graduate studies.
Income-Based Repayment (IBR): Like the PAYE plan, IBR requires borrowers to demonstrate financial hardship. Payments are capped at 10% of your discretionary income if you borrowed after July 1, 2014, or 15% of your discretionary income if you borrowed before this date. You could have any remaining balance forgiven after 20 or 25 years, depending on when you took out your loans.
Income-Contingent Repayment (ICR): Any borrower can qualify for the ICR plan — including Parent PLUS Loan borrowers who have consolidated their loans. Under ICR, your payments are either 20% of your discretionary income or what you’d pay on a 12-year repayment term, adjusted to your income — whichever is less. Any remaining balance could be forgiven after 25 years.

Tip: If an IDR plan doesn’t seem right for you, you could also consider signing up for a graduated repayment plan or an extended graduated repayment plan. Under a graduated plan, your payments will start out low and increase every few years, which could be helpful if you expect your income to rise in the future.

Check Out: PAYE vs. REPAYE: Which Repayment Plan Is Right for You?

5. Consider student loan forgiveness

Best for:

Borrowers who work for eligible nonprofit or government organizations
Borrowers who have high federal student loan payments compared to their income

How long will it take to pay off $150k: The time it will take to have your loans discharged under a student loan forgiveness program will depend on the program itself.

For example, if you work for an eligible government or nonprofit organization, you might be able to apply for Public Service Loan Forgiveness after 10 years of qualifying payments.

Or if you’re a teacher, you might be eligible to have a portion of your loans discharged after five years through the Teacher Loan Forgiveness Program after teaching for five consecutive years.

There are several student loan forgiveness programs available for federal student loans. Many of these require that you work in certain professions, such as programs for:

Law school loan forgiveness
Medical school loan forgiveness
Dental school loan forgiveness

Additionally, you could qualify to have your federal student loan balance discharged after making payments for 20 to 25 years on an IDR plan.

Keep in mind: Unfortunately, private student loan forgiveness doesn’t exist. However, there are other options that might help you more easily pay off private student loans while saving money along the way, such as private student loan consolidation.

If you decide to refinance your student loans, remember to consider as many lenders as you can to find a loan that suits your needs. This is easy with Credible — you can compare your prequalified rates from multiple lenders in just two minutes.

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Keep Reading:

How to Pay Off $200,000 in Student Loans
5 Steps to Pay Off $400k in Student Loans

About the author

Taylor Medine

Taylor Medine is a Credible authority on personal finance. Her work has been featured on Bankrate, Experian, The Balance, Business Insider, Credit Karma, and more. She’s also the author of The 60-Minute Money Plan, a self-published intro to budgeting guide for people who hate budgeting.

Home » All » Student Loan Refinancing » How to Pay Off $150,000+ in Student Loans

FAQs

How to Pay Off $150,000+ in Student Loans - Credible? ›

The time it takes to pay off $200,000 in student loans depends heavily on your repayment plan. For federal student loans, the Standard Repayment Plan spans 10 years, but those who opt for an income-driven repayment (IDR) plan might extend their payment period up to 20 or 25 years.

Read On ›

How to pay off $130,000 in student loans? ›

But don't worry — you have several potential ways to make your student loans more manageable.

Refinance your student loans. ...
Add a cosigner with good credit. ...
Pay off the loan with the highest interest rate first. ...
See if you're eligible for an income-driven repayment plan. ...
See if you're eligible for student loan forgiveness.

More items...

Discover More Details ›

Is it possible to pay off 200k in student loans? ›

What is the smartest way to repay student loans? ›

Pay More than Your Minimum Payment

Paying a little extra each month can reduce the interest you pay and reduce your total cost of your loan over time. Continue to make monthly payments even if you've satisfied future payments, and you'll pay off your loan faster.

See Details ›

How to pay off $500,000 in student loans? ›

8 strategies to pay off large student loans

Consider refinancing. ...
Apply for loan forgiveness. ...
Stick to a budget. ...
Make additional payments. ...
Set up automatic payments. ...
Use discounts to lower your interest rate. ...
Take advantage of tax deductions. ...
Ask your employer about repayment assistance.

Find Out More ›

How to pay off $150,000 in student loan debt? ›

Here's how to pay off $150,000 in student loans:

Refinance your student loans.
Add a creditworthy cosigner.
Pay off the loan with the highest interest rate first.
See if you're eligible for an income-driven repayment plan.
Consider student loan forgiveness.

Sep 9, 2024

Tell Me More ›

How to pay off 100k in student loans in 3 years? ›

How to Pay Off Your Student Loans Fast

Pay more than the minimum payment.
Get on a budget.
Cut back your spending.
Increase your income.
Refinance your loans (only if it makes sense).
Avoid income-driven repayment plans (IDRs).
Don't bank on student loan forgiveness.
Make paying off your student loans a priority.

May 31, 2024

Show Me More ›

How to pay off $200,000 in 5 years? ›

Let's say you currently owe $200,000 on your mortgage and you want to pay it off in 5 years or 60 months. In this case, you'll need to increase your payments to about $3,400 per month. Along with higher payments, the below strategies can help support your payoff efforts.

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How many people have over $100,000 in student loans? ›

Overall, more than 10% of graduate and professional students owe $100,000 or more in federal and private student loan debt, according to higher education expert Mark Kantrowitz. (For comparison, less than 1% of students borrow above that amount for bachelor's degree programs.)

Is it bad to pay off student loans at once? ›

Paying off student loans early can benefit you financially, but it should typically come second to building your emergency fund and retirement savings. People with private student loans or without other debt tend to benefit more from paying off student loans early.

Show Me More ›

How can borrowers aggressively pay off student loans? ›

Organize your student loan debt into a single, simple monthly payment. Secure a lower interest rate. Switch from a variable to fixed interest rate, or vice versa. Find a lender with better repayment options or borrower protections.

Read The Full Story ›

Why is it so hard to pay off student loans? ›

Key Points. Interest can make student loans more expensive, while inflation can make that debt harder to manage alongside other bills. Paying off some of your debt during your studies could ease the burden later on and save you money on interest.

See Details ›

How do people pay off student loans quickly? ›

How to pay off your student loans faster — 12 strategies

Sign up for automatic payments.
Check your eligibility for student loan forgiveness.
Investigate loan repayment assistance programs.
Ask your (next) employer about repayment assistance.
Consider student loan refinancing.
Avoid deferment periods, if possible.

More items...

Jul 10, 2024

Get More Info Here ›

Is it possible to pay off 300k in student loans? ›

Paying off such a large balance can be difficult and time consuming. For example, if you had $300,000 in federal student loans and paid them off on the standard 10-year repayment plan with a 6.22% interest rate, you'd end up with a monthly payment of $3,364 and a total repayment cost of $403,663.

How do dentists pay off student loans? ›

In addition, the California Dental Association (CDA) offers a student loan repayment grant, which provides loan assistance to dentists looking to work in public health. The grant provides $35,000 per year in loan repayment assistance for a period of up to three years, for a total of $105,000.

Is $100,000 in student debt a lot? ›

A lot of student loan debt is more than you can afford to repay after graduation. For many, this means having more than $70,000 – $100,000 in total student debt.

View Details ›

How to pay off $30,000 in student loans fast? ›

Here are seven strategies to help you pay off student loans even faster.