Student Loan Calculator
Calculate your monthly payment, total interest paid, and loan payoff timeline.
Frequently Asked Questions
How is the monthly payment calculated?
This calculator uses the standard amortization formula: M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the principal, r is the monthly interest rate, and n is the total number of payments. This ensures equal payments throughout the loan term.
What's the difference between federal and private student loans?
Federal loans typically have fixed interest rates set by Congress, while private loans have variable or fixed rates set by lenders. Federal loans often have more flexible repayment options (income-driven plans, forbearance). Use the average interest rate for your loan type.
Should I choose a shorter or longer loan term?
A shorter term (5–10 years) means higher monthly payments but significantly less total interest paid. A longer term (20–25 years) lowers monthly payments but increases total interest. Choose based on your budget and long-term financial goals.
Can I pay off my loan early?
Most student loans allow prepayment without penalties. Paying extra toward principal reduces both the term and total interest paid. For example, paying an extra $50/month could save years of payments and thousands in interest.
What interest rates are typical for student loans?
Federal undergraduate loans typically range 5–7%, while graduate federal loans are 6–8%. Private loans vary widely (2–14%) based on creditworthiness. Check with your lender for your specific rate before borrowing.