Student Loan Payoff Statement: What It Is, How To Get One

A student loan payoff statement shows exactly how much you need to pay to wipe out your loan balance at a specific point in time. There's a good chance you'll need one if you want to pay off your loans early, refinance your debt, or apply for a mortgage. Keep reading to learn more about payoff statements for student loans and how they work.

Current private student loan refinance rates

What is a student loan payoff statement?

A payoff statement, sometimes called a payoff letter or payoff quote, is a document that outlines exactly how much you would need to pay to bring your balance to zero. In addition to your remaining loan balance, the payoff amount includes accrued interest and any fees you are expected to pay.

The payoff statement also has an expiration date, often called a “good-until” date. If you pay the full amount by that date, your student loan is officially cleared. If you miss that deadline, your loan may continue to accrue interest, meaning you'll owe more than the amount listed, and the payoff statement will no longer be valid.

Why is a payoff statement important for student loans?

If you're planning to pay off your student loans early, a payoff statement is essential. It gives you a clear and accurate amount needed to fully settle your debt, including interest and any fees. This can help you plan your finances without guessing how much you'll need.

How to request a student loan payoff statement

For private student loans, the process to request a payoff statement varies by lender. Most lenders allow you to download the statement through your online account, or you can call your lender to request one.

For federal loans, you'll most likely need to go through your loan servicer. To find out who your servicer is, log in to your Federal Student Aid (FSA) dashboard and check the “My Loan Servicers” section. You can also call the FSA Information Center at 1-800-433-3243.

Here are a few ways you can get your payoff statement:

• Online: Many servicers let you request a payoff statement through your online account. This is often the quickest option.
• Phone: If online access isn't available, calling your loan servicer is another way to request the statement.
• Monthly statement: Some loan servicers include your payoff amount in your monthly statement. Check for this information, as it will usually include a good-until date.

How to understand your payoff statement

Your payoff statement breaks down several key details. Here's what each section means:

• Payoff amount: Most importantly, you'll find your payoff amount within your payoff statement. This amount should include your outstanding balance, any unpaid interest, and any unpaid fees.
• Good-until date: The good-until date, sometimes called a good-through date, indicates how long the payoff amount is accurate. If you plan to pay off your loan after the good-until date, you'll probably owe more in accrued interest charges.
• Interest charges: Within the statement, you should see how much interest has accrued since your last payment. If you want to completely pay off the loan, you'll need to pay off the accrued interest.

What to do with your payoff statement

Once you receive your payoff statement, here are a few ways to use it:

• Track what you owe: If you're planning to pay off your student loans early, the payoff statement tells you exactly how much you need to send to your lender to clear the balance.
• Submit it to a mortgage lender: When applying for a mortgage, your lender may request a student loan payoff statement. This is used to see how much student debt you still owe when determining your debt-to-income ratio.
• Refinance your loans: If you're refinancing your student loans, your new lender will need the payoff amount to pay off your existing loans. The statement ensures they lend you the right amount to cover your balance.

Tips to pay off student loans faster

Paying off your student loans ahead of schedule can save you money on interest and help you become debt-free even sooner. However, it may not be the best move for every borrower.

“If you have federal student loans and work for a nonprofit — such as a hospital, school, university, or government agency — you may qualify for Public Service Loan Forgiveness. Even if you work for a for-profit company, you might still be eligible for loan forgiveness through an income-driven repayment plan. Before paying them off aggressively, it's worth exploring whether you qualify for one of these forgiveness options,” advises Emma Crawford, certified financial planner and founder of October Loan Strategies, a student loan planning firm.

“When it comes to private loans, paying them off faster can make more sense since they have fewer forgiveness opportunities. But before making extra payments, prioritize paying off any higher-interest debt first, like credit cards or personal loans,” adds Crawford.

If paying off your student loans early makes financial sense, here are a few strategies to consider:

Pay more than the minimum each month

By contributing more than the required monthly payment, you'll reduce your loan balance faster and pay less interest over time. Consider putting any unexpected funds — like tax refunds, bonuses, or monetary gifts — toward your student loan balance.

Refinance for a better rate

If you have good credit, refinancing could lower your interest rate and help you pay off your loans faster. You can also opt for a shorter repayment term to speed up debt repayment and save on interest, but keep in mind this will increase your monthly payments.

Ask your employer for help

Some employers offer educational assistance programs that can be used to help pay off student loans. Under current law, through Dec. 31, 2025, employers can contribute up to $5,250 per year toward an employee's student loans, and this amount is tax-free. Check if your employer offers this benefit and take advantage of it while available.