How to pay off student loans

August 26, 2025

4 min read

If you’re like many people, you’ve taken out a student loan to help with the high cost of getting through college. Once you’re out of school, the loans come due. In this article we’ll explore options for managing student debt and provide links to programs and more information. Let’s get your loans paid off!

Here’s what we’re going to cover:

Repaying federal student loans
Repaying private student loans
General tips for student loan repayment

Key takeaways: Paying off student loans

Your options for paying off or reducing student loans will depend on the type of loan you took out.
In general, federal student loans offer more flexibility in repayment than private student loans, but there are strategies that can help you with both types.
Remember that government regulations on student loans may change at any time

Repaying federal student loans

The government offers several programs that can help you repay or reduce a federally funded student loan. The rules regarding student loans change from time to time, so be sure you have the most recent information.

Public Student Loan Forgiveness

If you work in a public service industry, you may be eligible to have your student loan forgiven after making 120 monthly payments (10 years). Forgiveness means you do not have to make any more payments toward the loan; the government considers it complete.

Teachers, members of the U.S. Armed Forces, first responders such as police and firefighters, Peace Corps volunteers, government employees, and workers in some nonprofit agencies may qualify for this program. Check government websites for details.

Income-driven repayment (IDR) plans

The federal government also provides repayment options based on your income level and family size. These plans place a limit on the amount you must pay each month. In addition, you may be able to get a one-time adjustment in the amount you owe.

Requirements for eligibility differ from one program to another, so it’s important to know what kind of federal student loan you have. Be sure to keep good records of your loan payments as well as your income.

Deferment and forbearance

Deferment and forbearance are two methods of temporarily pausing your student loan payments. They can be helpful in times of emergency when you’re not able to make your regular payments. However, neither method will reduce the amount of your debt. Depending on the program, interest may continue to add up even when your payments are paused.

Other programs

If you’re not eligible for one federal program, check to see what other options exist. The Education Data Initiative publishes a comprehensive list of student loan forgiveness programs. Follow the links in the list to see whether you qualify for any of these.

Repaying private student loans

If you took out a student loan from a private lender, you may have fewer repayment or forgiveness options. Here are three approaches you can try.

Help from your lender

If you’re struggling with your loan payments, call or write to your lender and explain your financial situation. Include information such as your income, family size, occupation, and the amount you can reasonably afford to pay each month.

Private lenders are not required to help you repay student loans, but some will work with you to create a payment plan you can manage. Contact your lender as soon as possible if you have difficulty making your loan payments.

Help from your employer

Some companies offer education assistance as a benefit. Some provide tuition assistance, which can pay part of your tuition while you’re attending college. Others offer reimbursement for education expenses after you’ve graduated. While it’s not extremely common, it may be worth checking to see if any education benefits are offered.

Help from your city or state

In addition to the federal government, some states offer assistance for student loan repayment. Check with the state and city government where you live to see if you qualify for any local programs.

General tips for student loan repayment

Don’t forget to claim any tax benefits available to you for student loan repayment or interest.

Be sure to keep records of all your loan payments, and get all communications in writing. If anything is not clear to you, don’t hesitate to ask for an explanation.

Anytime you find yourself with extra money—for example, a bonus, a tax refund, or an inheritance—use it to make additional payments on your student loan. You can request that the payments be applied to the loan principal (the amount you borrowed) rather than to the interest you owe. This will allow you to pay off the loan more quickly.

Remember that government regulations on student loans may change at any time.

Oportun: Affordable lending options designed with you in mind

Student loans can take a long time to pay off, but in the end a good education may be your key to landing a high-paying job. Check into the many programs available for help with loan repayment, and don’t let debt keep you from pursuing your career goals.

Oportun is here for every stage of your financial journey. Visit our homepage to learn about: