Student Loan Refinance Calculator
Compare your current student loan vs a refinanced loan. See monthly savings, total interest savings, and new payoff timeline side by side.
Student Loan Consolidation Calculator
Calculate your consolidated student loan rate and payment. Weighted average rate rounded up to nearest 1/8th with terms up to 30 years.
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Total Balanceโง
$35,000.00
Sum of all values
Weighted Avg Rateโง
5.814%
Consolidated Rateโง
5.875%
Rounded up to nearest 1/8%
Monthly Paymentโง
$386.38
10-year term
Total Interestโง
$11,365.40
Total interest over loan life
Total Repaidโง
$46,365.40
Sum of all values
Planning notes, formulas, and examples
About the Student Loan Consolidation Calculator
Federal student loan consolidation combines multiple loans into a single Direct Consolidation Loan with one monthly payment and one interest rate. The new rate is the weighted average of your existing rates, rounded up to the nearest one-eighth of a percent.
Consolidation simplifies your repayment by replacing multiple servicers and due dates with one. It also unlocks extended repayment terms of up to 30 years and enables access to income-driven repayment for Parent PLUS loans (through ICR). However, consolidation may increase your total cost due to the rounded-up rate and potential longer term.
This calculator computes your consolidated interest rate and estimates the new monthly payment for your chosen term, helping you decide whether consolidation makes financial sense for your situation.
When This Page Helps
Managing multiple student loans with different rates, servicers, and due dates is confusing. Consolidation simplifies everything into one payment. This calculator shows you exactly what your new rate will be and how different repayment terms affect your payment. Understanding these numbers helps you weigh the convenience of consolidation against the potential cost.
How to Use the Inputs
- Enter the balance and interest rate for each of your existing loans.
- The calculator computes the weighted average rate rounded up to the nearest 1/8%.
- Choose a repayment term (10, 15, 20, 25, or 30 years).
- View your new monthly payment and total cost.
- Compare against your current combined monthly payments.
- Decide whether the simplification benefits outweigh any added cost.
Formula used
Weighted Avg Rate = ฮฃ(Balance_i ร Rate_i) / ฮฃ(Balance_i)
Consolidated Rate = ceiling(Weighted Avg Rate ร 8) / 8
Monthly Payment = P[r(1+r)^n] / [(1+r)^n โ 1]Example Calculation
Result: 5.875% rate | $393/month
Weighted average = (15000ร0.045 + 20000ร0.068) / 35000 = 5.814%. Rounded up to nearest 1/8%: 5.875%. On a $35,000 consolidation loan at 5.875% over 10 years, the monthly payment is approximately $393.
Tips & Best Practices
- Consolidation rounds your rate UP, so you'll always pay slightly more than the weighted average.
- Extending the term beyond 10 years reduces monthly payments but significantly increases total interest.
- Consolidating FFEL loans into Direct Loans is necessary for PSLF and some IDR plans.
- Consolidation resets any progress toward income-driven repayment forgiveness.
- Consider whether you'd lose benefits like interest rate discounts on individual loans.
- Parent PLUS loans must be consolidated into a Direct Consolidation Loan to access ICR.
How Federal Consolidation Works
When you consolidate, the Department of Education pays off your existing federal loans and creates a new Direct Consolidation Loan. The new loan has a fixed interest rate equal to the weighted average of your old rates, rounded up to the nearest eighth of a percent. You choose a new repayment plan and term.
When Consolidation Makes Sense
Consolidation is most valuable when you need to convert FFEL or Perkins loans to Direct Loans for PSLF eligibility, when you want to combine Parent PLUS loans for ICR access, or when managing multiple servicers has become burdensome. The simplification benefit is real, even if the financial benefit is minimal.
When to Avoid Consolidation
Don't consolidate if you've made significant progress toward IDR forgiveness (the count resets), if you have loans with borrower benefits you'd lose (like interest rate discounts), or if you're close to paying off a small loan (consolidating extends its effective term). Also avoid consolidating subsidized loans with unsubsidized ones, as you may lose the interest subsidy benefit.
Sources & Methodology
Last updated:
Frequently Asked Questions
The rate is the weighted average of all consolidated loans, rounded up to the nearest one-eighth of a percent. This rounded rate is fixed for the life of the consolidated loan.
Consolidation itself doesn't save money because the rate rounds up. However, it can simplify payments and unlock access to forgiveness programs. Extending the term lowers monthly payments but increases total cost.
No. Federal consolidation only combines federal loans. To combine federal and private loans, you'd need to refinance with a private lender, which means losing federal benefits like IDR and forgiveness.
Yes. Consolidation resets your IDR forgiveness payment count to zero. If you've made significant progress toward 20โ25 year forgiveness, consolidation may not be worth it unless you're consolidating for PSLF access.
Standard (10 years), graduated (10 years), extended (up to 25 years), and income-driven plans. The maximum term depends on your total balance and can extend up to 30 years for balances over $60,000.
No. Consolidation is a federal program that combines federal loans at a weighted average rate. Refinancing is done through private lenders at a new market rate. Refinancing can lower your rate but eliminates federal protections.
More in this topic
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Income-Driven Repayment (IDR) Calculator
Calculate your income-driven repayment plan payment based on AGI and family size. Compare IDR plans including SAVE, IBR, PAYE, and ICR.