Post-college life

How to decide if you should refinance your student loans right now

The current economic climate feels uncertain and confusing for many of us. If you are unsure about whether or not to refinance your student loan right now, we’re here to bring some clarity.

The most important thing to know: Who holds your loans?

Choose the answer that best describes your situation:

“I have federal loans, but they’re not held by the government.”

If this statement describes you, we recommend you look into the following options:

·     Consolidate your loans in order to qualify for federal student loan relief

·     Apply for IBR (Income Based-Repayment)

·     Refinance your student loans

“I have private student loans.”

If this is you, we definitely recommend looking into refinancing your student loans at this time.

Take advantage of current interest rates and get a lower rate that will save you money now and in the future, even if you’ve refinanced previously. Here’s where to get started.

"I have already refinanced my loans?

The good news is you can do so again - at no cost - so don’t hesitate to secure a lower interest rate.


Bonus round: “the federal government holds my student loans.”

If this is you, then there’s no need to refinance your loans at this time. All federally held student loans are automatically paused through December 31, 2020.

This pause won’t affect your credit score, and even your interest is on “hold.” At the end of this period, consider refinancing your student loans (get updates about your options here). In the meantime, use our simple worksheet to see how much money you’d save putting the money you would use on student loans towards other types of debt, like your credit card. 

Now, find out more: 

CommonBond has helpful tools to enable you to make educated decisions and stay on top of the latest information:

  • If you weren’t sure how to answer the questions above, call your loan servicer and find out whether or not your loans are held by the federal government (Here’s a list of federal loan servicers to get you started!).
  • Sign up for our Student Loan Relief Tracker to stay up-to-date on the latest information about your student loans. 
  • If you’re not sure what to do with your student loan relief (Pay down a credit card? Set up a rainy day fund?), our worksheet can help.
  • Learn more about refinancing in general with our handy quiz.


We’re all in this together! If you’ve still got questions, send us an email at

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