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Six-figure student loan debt can cast a shadow over your personal finances, making milestones like buying a home, starting a family, and even retiring someday seem like pipe dreams. But there are several strategies you can use to accelerate your debt payoff timeline and decrease the amount you owe, potentially saving you thousands in interest.
Even small changes can make a big difference. For instance, if you owe $100K in student loans at 7%, you could save almost $30,000 by reducing your repayment term from 25 to 20 years. And more aggressive repayment can have an even larger impact:
But if you can't afford to increase your monthly payments, there are other ways to pay off $100,000 in student loans.
1. Refinance student loans
Best for: Borrowers with high-interest private student loans or those who have significantly improved their credit scores since taking out their loans
Student loan refinancing allows you to take out a new loan with different terms — potentially with a lower interest rate — and use it to pay off your existing student loans.
By securing a lower interest rate, you can reduce the amount of money you’ll pay in interest over the life of the loan, which can save you thousands of dollars. Additionally, you might be able to adjust your loan term or payment amount to pay off your debt early.
However, be aware that refinancing federal student loans means losing access to federal protections and benefits, such as income-driven repayment plans, forbearance, deferment, and loan forgiveness programs.
Tip
If you don’t have great credit, consider adding a cosigner with strong credit to help you qualify for a lower refinance interest rate.
4.44.4
Fox Money rating
Fixed (APR)
5.48% -
Loan Amounts
$10,000 up to total refinance amount
Min. Credit Score
680
Overview
Borrowers who graduated with at least a bachelor’s degree may refinance their student loans with ELFI. Every applicant is assigned a student loan advisor to help guide them through the process.
Students who wish to take over their parents’ PLUS loan may do so by refinancing with ELFI — something not offered by every lender — but spouses can’t consolidate their loans into a single refinancing loan.
Unfortunately, ELFI doesn’t allow borrowers to release cosigners, nor does it offer any rate discounts. However, borrowers who experience financial hardship may be eligible for up to 12 months of forbearance.
Interest rates
Fixed and variable
Minimum credit score
680
Minimum income
$35,000
Loan terms
5, 7, 10, 15, or 20 years for student loan refinancing; 5, 7, or 10 years for parent loan refinancing
Loan amounts
Minimum of $10,000 with no set maximum.
Cosigner release
None
Eligibility
Must be a U.S. citizen or permanent resident with a bachelor’s degree or higher. Must have at least $10,000 in student loans to refinance and a minimum credit history of 36 months.
4.64.6
Fox Money rating
Fixed (APR)
5.49% -
Loan Amounts
$5,000 - $250,000
Min. Credit Score
680
Overview
Founded in 2009, LendKey partners with 300+ community banks and credit unions to connect borrowers with the loans they need. You can compare multiple lenders at once without affecting your credit score.
However, the exact terms and qualification requirements available through LendKey vary depending on your chosen community lender. While you can easily compare options, you’ll need to read the fine print of each offer to make sure the loan offers everything you need.
Interest rates
Fixed or variable
Minimum credit score
680
Minimum income
Does not disclose
Loan terms
5, 7, 10, or 15 years
Loan amounts
$5,000 to $250,000
Cosigner release
Varies based on lender's terms
Eligibility
Must be a U.S. citizen or permanent resident and have already graduated with at least an associate degree from one of LendKey lenders’ eligible institutions.
3.93.9
Fox Money rating
Fixed (APR)
5.85% -
Loan Amounts
$5,000 - $250,000
Min. Credit Score
670
Overview
INvestEd is an Indiana-based nonprofit lender that provides refinanced student loans nationwide. As a nonprofit, INvestEd offers competitive rates as well as an autopay discount. Cosigner release is also available after 12 on-time payments, which is less than many competitors.
However, the maximum refinance limit of $250,000 is below what other lenders may allow. Borrowers must also comply with strict credit and income requirements to qualify, or must have an eligible cosigner. While credit requirements are clearly defined, there’s no way to prequalify with a soft credit check.
Interest rates
Fixed or variable
Minimum credit score
670
Minimum income
Does not disclose
Loan terms
5, 10, 15, or 20 years
Loan amounts
$5,000 to $250,000
Cosigner release
12 months
Eligibility
U.S. citizens or permanent residents are eligible. Borrowers must meet minimum requirements including a FICO score of 670 or higher, annual income of $36,000, a debt-to-income ratio below 40% to 50%, a year of continuous employment, and no defaults or serious collection activities in recent years.
3.83.8
Fox Money rating
Fixed (APR)
6.00% -
Loan Amounts
$7,500 - $200,000
Min. Credit Score
700
Overview
EdvestinU is a loan program offered by Granite Edvance Corporation and offers affordable rates for refinance loans. Borrowers can refinance federal and private loans, and fixed and variable rate loans are available.
EdvestinU refinance loans are available to residents of about 20 states, and the lender has higher loan minimums and lower maximums than some competitors. Both of these factors limit who can (or might want to) refinance with this lender, but eligible borrowers do have various repayment term options.
Interest rates
Fixed or variable
Minimum credit score
700
Minimum income
Does not disclose
Loan terms
5, 10, 15, or 20 years
Loan amounts
$7,500 to $200,000
Cosigner release
24 months
Eligibility
U.S. citizens or permanent residents who are at least 18 years old and reside in Alaska, Arkansas, Colorado, Connecticut, Florida, Maine, Massachusetts, Nebraska, New Hampshire, New Jersey, New York, North Carolina, Puerto Rico, Rhode Island, Texas, Utah, Virginia, Washington, West Virginia, and Wisconsin.
44
Fox Money rating
Fixed (APR)
6.20% -
Loan Amounts
$10,000 up to the total amount
Min. Credit Score
670
Overview
Not-for-profit lender Massachusetts Educational Financing Authority (MEFA) offers refinancing loans to student borrowers — and unlike many other lenders, you don’t need to have earned your degree to qualify. Only fixed-rate loans are available, but the rates are competitive and may be lower than what other lenders can offer. MEFA also doesn’t charge any fees or penalties.
Refinance loans start at $10,000, and you must have made six consecutive on-time payments on the original loans over the most recent six months. If you can’t qualify based on your own credit history, you can add a cosigner.
Interest rates
Fixed
Minimum credit score
670
Minimum income
Does not disclose
Loan terms
7, 10, or 15 years
Loan amounts
$10,000 up to your total debt
Cosigner release
None
Eligibility
Must be a U.S. citizen or permanent resident who is the primary borrower on education debt used to attend an eligible college or university. Must have made six on-time loan payments over the most recent six months. Must have no history of default or delinquency on education debt for the past 12 months and no history of bankruptcy or foreclosure in the past five years.
3.73.7
Fox Money rating
Fixed (APR)
6.34% -
Loan Amounts
$7,500 - $250,000
Min. Credit Score
680
Overview
Founded in 1981, Rhode Island Student Loan Authority (RISLA) is a nonprofit lender that offers refinance loans to borrowers in all 50 states. Though most private lenders require borrowers to have graduated to qualify for refinancing, RISLA also serves borrowers who didn’t complete their degree.
RISLA offers income-based repayment to borrowers in financial distress. Additionally, borrowers may also access up to 24 months of forbearance in the event of financial hardship. Borrowers who return to graduate school may defer repayment on their refinancing loans for up to 36 months.
Interest rates
Fixed
Minimum credit score
680
Minimum income
$40,000
Loan terms
5, 10, or 15 years
Loan amounts
$7,500 minimum up to of $250,000, depending on degree
Cosigner release
None
Eligibility
Borrower or cosigner must meet credit requirements. Student must be a U.S. citizen or permanent resident and have used original student loans to attend an eligible degree-granting institution.
4.74.7
Fox Money rating
Fixed (APR)
6.49% -
Loan Amounts
$10,000 - $750,000
Min. Credit Score
Does not disclose
Overview
Citizens offers student loan refinancing to qualifying borrowers who refinance at least $10,000 in student loan debt.
Undergraduate borrowers can refinance up to $300,000 in student loans, while those who borrowed for graduate or professional degrees have higher limits of $500,000 or $750,000. Citizens offers fixed and variable rates and repayment terms between five and 20 years.
If you’re a medical resident, you can refinance your student loans and only pay $100 per month for up to four years while completing your residency or fellowship.
Interest rates
Fixed or variable
Minimum credit score
700
Minimum income
Does not disclose
Loan terms
5, 7, 10, 15, or 20 years
Loan amounts
$10,000 minimum, with a maximum of $300,000 for bachelor’s degree or below; $500,000 for graduate degrees; and $750,000 for professional degrees
Cosigner release
36 months
Eligibility
Must refinance at least $10,000 in student loans and be a U.S. citizen, permanent resident, or resident alien with a valid U.S. Social Security number. Must have earned at least a bachelor's degree to qualify.
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2. Apply for federal forgiveness programs
Federal student loan forgiveness programs cancel the remaining balance of your federal student loans after working in a qualifying profession for a minimum number of years and/or making a certain number of qualifying payments.
Here are a few forgiveness programs to look into:
Public Service Loan Forgiveness (PSLF)
Best for: Federal loan borrowers who work in qualifying public service positions
The Public Service Loan Forgiveness (PSLF) program is available to borrowers who work for a government or not-for-profit organization, in a qualifying public service role.
You can have your remaining balance forgiven after making 120 qualifying payments while enrolled in an income-driven repayment plan and working full-time for an eligible employer. This translates to making at least 10 years of payments.
Teacher Loan Forgiveness (TLF)
Best for: Federal loan borrowers who work in qualifying teaching positions
Forgiveness for teachers is also available through the Teacher Loan Forgiveness (TLF) program. This program is available to borrowers who teach full-time for five consecutive years in low-income schools or educational service agencies.
Eligible teachers can have up to $17,500 of their federal student loans forgiven.
Related: 5 ways to get student loan forgiveness in 2024
3. Consider income-driven repayment (IDR)
Best for: Federal loan borrowers struggling with high loan payments relative to their income
Income-driven repayment (IDR) plans base your monthly loan payments on your income and family size, making your student loan payments more manageable for your financial situation. Any remaining loan balance is forgiven after 10 to 25 years of qualifying payments, depending on the specific plan.
There are four income-driven repayment options to consider:
- Saving on a Valuable Education (SAVE) plan
- Pay As You Earn (PAYE) plan
- Income-Based Repayment (IBR) plan
- Income-Contingent Repayment (ICR) plan
To see which plan makes the most sense for you, you can input your loan information in the loan simulator tool on Federal Student Aid’s website. You’ll be able to review all of your options and get a sense of what your monthly payments might look like.
4. Make extra payments when you can
Best for: Borrowers who have room in their budget to make extra principal payments
By paying more than the minimum required each month, you can reduce the principal balance of your loan, which in turn decreases the total interest accrued over time.
To illustrate the impact of making extra payments, consider the following example for a $100,000 loan at an interest rate of 7.00% on the 10-year Standard Repayment plan:
Paying an extra $200 per month will shave two years off the 10-year Standard Repayment plan and save you $8,371 in interest.
Consider allocating any windfalls — such as tax refunds, work bonuses, or monetary gifts — toward your student loan balance. Using these extra funds to make additional payments can reduce the time it takes to pay off your debt and potentially save you thousands of dollars in interest.
Important
If you want to make extra payments, make sure your loan servicer applies them to your principal rather than prepaying interest. You may need to contact your loan servicer for instructions on how to make extra principal payments.
5. Explore loan repayment programs
Best for: Borrowers already working in or considering a career in eligible fields
Loan repayment programs (LRPs) are typically offered by government agencies, state governments, and some private organizations as an incentive to attract professionals into fields where there’s a high demand for skilled workers, such as health care, research, and the military.
LRPs pay off a portion of your student loan debt in exchange for a commitment to work in a specific profession or geographic area for a set period — usually two to three years.
For example, the Nurse Corps Loan Repayment Program is available to registered nurses (RNs), advanced practice registered nurses (APRNs), and nurse faculty who work for two years in a critical shortage facility or an eligible nursing school. The program pays up to 85% of unpaid student loan debt.
To research loan repayment programs in your area, visit your state’s education department website.
6. Apply the debt avalanche method
Best for: Borrowers with multiple student loans who are committed to an aggressive repayment strategy
The debt avalanche method involves prioritizing your student loan debts by interest rate, paying the minimum on all your loans, and then using any extra money to pay off the debt with the highest interest rate first. Once you pay off the highest-interest debt, you move on to the next-highest, and so on, creating an “avalanche” effect as each debt is cleared.
For example, say you have three student loans:
- Loan A: $5,000 at 7.00% interest
- Loan B: $100,000 at 4.50% interest
- Loan C: $15,000 at 3.00% interest
Using the debt avalanche method, you would first focus on paying off Loan A while paying the minimum on Loans B and C. Once you fully pay off Loan A, you concentrate on Loan B, and finally, Loan C.
This method is particularly effective for people that have multiple student loans with different interest rates. Focusing on the most expensive debt first minimizes the total interest paid over time, potentially saving you thousands of dollars.
Related: Pay off student loans: 10 strategies to be debt-free
7. Get help from your employer
Best for: Borrowers whose employers offer educational assistance programs
If your employer offers an educational assistance program, you might be able to use those funds to pay off a portion of your student debt. Historically, program funds were strictly reserved for educational expenses such as tuition, fees, textbooks, and supplies. However, the IRS temporarily expanded expenses to include student loan debt after the pandemic hit.
Through Dec. 31, 2025, any educational assistance program funds can be used to pay off qualified federal and private student loans. Just be aware that any amount received over $5,250 will count as taxable income, regardless if it was paid directly to you or your lender.
8. Use 529 college savings funds
Best for: Borrowers who have or can open a 529 savings plan
A 529 plan is not only a popular tool for saving for college, it can now be a smart option to help you pay off your student loan debt.
As of 2019, federal law allows you to use up to $10,000 from a 529 account to pay off the principal or interest on qualified student loans. This withdrawal can be made tax-free to pay your lender directly. Keep in mind, this $10,000 is a lifetime limit for each beneficiary but can also extend to siblings.
Many states also offer tax deductions for contributions to a 529 plan. If you're paying off student debt, but don't yet have a 529 plan, you could potentially open one, contribute to it and get a state tax deduction, then turn around and use those funds to pay down your student loans. To see what tax advantages your state plan offers, check out our list of the best 529 plans and learn how to choose the right one.
Combine strategies for a faster payoff
Tackling over $100,000 in student loan debt is no small feat, but with the strategies discussed above, you can dig out from under your debt faster and more efficiently than you might imagine possible.
Of course, larger balances will naturally take longer to pay off, and you might need to use a combination of strategies and take a more aggressive approach. For example, you might look into student loan forgiveness programs for your federal student loans, refinance your private student loans to lower your interest rate, and then make extra payments toward that new loan to pay off the principal faster.
Just remember, paying off $100K+ in student loans is a marathon, not a sprint. Stay committed to your repayment plan, and you can achieve financial freedom and set yourself up for a prosperous future.
Meet the contributor:
Janet Berry-Johnson
Janet Berry-Johnson is an authority on income taxes and small business accounting. She was a CPA for over 12 years and has been a personal finance writer for more than five years. Janet has written for several well-known media outlets, including The New York Times, Forbes, Business Insider and Credit Karma. In 2021, Canopy named her one of the Top 10 Influential Women in Accounting and Tax.
