Should You Refinance Your Student Loans?

Refinancing replaces your federal loans with a private loan at (ideally) a lower interest rate.

Pros: lower rate, simplified payments, potential interest savings.

Cons: you permanently lose federal protections — income-driven repayment, PSLF eligibility, deferment, forbearance, and forgiveness programs. Refinancing makes sense if: you have stable income, no plans to pursue forgiveness, and can qualify for a rate at least 1% lower than your current rate. Never refinance federal loans if you're pursuing PSLF or expect to need income-driven repayment..