Stop Deliberating and Start Refinancing Student Loans

Published on Author Manny Larcher
“Just consolidate them.”

When Cecily Ferris, a lawyer from Columbus, Ohio, asked how to begin repaying her student loans, those were the three words of advice she received.

“It can feel like you’re never going to get out from under them, but [a plan] helps.”


With law school in the six-figure range, now is the best time to refinance your student loans. It will help you to dedicate yourself to paying the money you know you’ll have to, while also allowing you to spend as little as possible. Getting a plan that’s more manageable for you will help you build confidence and credit, and get you on track to a stable financial future.

One thing’s certain: there’s no avoiding repayment. Refinancing will help you lock in a lower interest rate, this will free up more of your hard-earned money.

Refinancing can also enable you to tweak your repayment plan, giving you more control. If you have the income to pay large chunks every month, you can opt for a shorter repayment plan. Conversely, you can opt for a longer repayment plan that lowers your monthly payments (When opting for a longer repayment plan, one strategy is to use any bonuses, monetary gifts, tax refunds, etc. as supplemental payments to lessen the burden of monthly payments).

There are a lot of tools available online that can help you calculate your rate and what your options are when refinancing.

Another lawyer, with whom I spoke on condition of anonymity, couldn’t tell me much about his loans. He could only say, “my financial adviser was very pleased that I refinanced,” with a laugh.

The amount you can save refinancing can be significant. With $140,000 in federal loans, the average interest rate of 5.31% applied to loans for professional degrees, and a twenty-year retirement plan, you’re looking at an average of $87,539 interest. By refinancing and getting a lower rate you can save tens of thousands of dollars in interest, it could even decrease your monthly payments.

Looking to see what refinancing options are available doesn’t have to hurt your credit score. If you find out you have good credit and are earning steady income, you have a good chance of getting approval on refinancing your student loans. Just make sure to set a manageable monthly payment as you are lowering the interest rate. Be sure to consider whether your main goal is to have lower monthly payments or to lessen your time in debt, as this will lead you to a plan that suits your needs.

Private loan refinancers have the freedom to work with you finding the right plan to suit your needs.Try Purefy’s Student Loan Refinancing Calculator to see how much you can save.

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