How it works
Federal student loans default to the Standard Repayment Plan: fixed payments over 10 years. Rates are fixed for the life of each loan and are set every July; undergraduate Direct Loans first disbursed for the 2025–26 school year carry 6.39%.
Example
A $35,000 balance at 6.39% over 10 years costs about $395 a month and $12,455 in interest. Adding $100 a month pays it off years sooner.
Income-driven plans base payments on income instead; check studentaid.gov for options.
Frequently asked questions
Does an extra payment go to principal?
Ask your servicer to apply extra amounts to principal on your highest-rate loan, not to future payments.
See also
Results are estimates for information only and are not financial, legal or medical advice. Rates, taxes and fees vary — confirm with a professional or your lender.