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.

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:

1. Refinance your student loans
2. Add a creditworthy cosigner
3. Pay off the loan with the highest interest rate first
4. See if you’re eligible for an income-driven repayment plan
5. 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

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.

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

Learn More: How to Pay Off $100,000+ in Student Loans

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

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.

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	4.4%+	4.99%+	720
Fixed APR: 4.4%+ Variable APR: 4.99%+ 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	5.39%+1	6.66%+1	Does not disclose
Fixed APR: 5.39%+1 Variable APR: 6.66%+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	5.99%+2	5.99%+2	Does not disclose
Fixed APR: 5.99%+2 Variable APR: 5.99%+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	7.16%+5	7.71%+5	700
Fixed APR: 7.16%+5 Variable APR: 7.71%+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 36 months Loan servicer: Granite State Management & Resources (GSM&R) 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	5.08%+3	5.03%+3	680
Fixed APR: 5.08%+3 Variable APR: 5.03%+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	5.61%+4	7.6%+4	670
Fixed APR: 5.61%+4 Variable APR: 7.6%+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	4.49%+	5.02%+	700
Fixed APR: 4.49%+ Variable APR: 5.02%+ 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	5.5%+	N/A	670
Fixed APR: 5.5%+ 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	5.79%+	N/A	680
Fixed APR: 5.79%+ 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

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.

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.

Learn More: What Is the Average Time It Takes to Repay Student Loans?

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

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.

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

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.

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.

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.

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