SoFi

College comes with a lot of expenses. On top of tuition, fees, books, and housing, you might also want to occasionally go out and have fun. Maybe you want to go shopping, see a movie, or meet friends for lunch or dinner. That’s not always easy on a student budget. Fortunately, there are widely available deals and discounts designed just for college students. Here’s where you can find them.

Major Retailers

1. Amazon

Amazon Prime for Young Adults gives college students a six-month free trial, followed by a discounted Prime subscription ($7.49/month). You also get access to student-exclusive offers, including free Grubhub+ and 5% cash back on a wide variety of purchases.

2. Sam’s Club

Sam’s Club offers qualified college students 60% off a Club membership or $50 off a Plus membership (which comes with free curbside pickup and free delivery on orders of $50-plus). Students need to apply online to qualify.

💡 Quick Tip: You’ll make no payments on some private student loans for six months after graduation.

3. Target

Target Circle’s College Student Appreciation program offers exclusive perks and discounts to students, which could come in handy when you’re shopping for your dorm room. To access deals, including 50% off Circle 360, you need to verify your student status (by uploading a student ID, class schedule, or tuition receipt) and join Target Circle for free.

4. Costco

A Costco membership can also help make college more affordable. College students who join Costco as a new Gold Star Member through UNiDAYS (a site that verifies student status and offers exclusive student deals) can get a $40 Digital Costco Shop Card.

Technology

5. Apple

Keep this in mind when you’re preparing for college: Apple offers special pricing for current and recently accepted college students (along with their parents). For example, you can get a 13” Macbook Air starting at $899 or an iPad air from $549.

6. Microsoft

Students (as well as parents and teachers) can save up to 10% off eligible computers and accessories with Microsoft’s student discount.

7. Dell

Dell offers 10% off when you register for Dell Rewards and verify your student status.

8. Lenovo

College students get an extra 5% off their tech purchases at Lenovo. Incoming students can also access the deal by providing a letter of acceptance. You simply need to verify your student status through ID.me during checkout.

9. Adobe

Adobe allows students to get Creative Cloud Pro for $24.99/month for the first year and $39.99/month after that (it’s normally $66.99/month). To get the deal, you need to provide a school-issued email address during purchase so you can be instantly verified.

Clothes

10. Aeropostale

Students can benefit from an extra 15% off at Aeropostale. To take advantage of the deal, you’ll simply need to register and verify your student status with UNiDAYS.

11. J.Crew

J.Crew gives students with a valid student ID 15% off purchases both in store and online. The discount can be used up to four times a month.

12. Hanes

Need some basics, like tees or undergarments? Hanes offers students 10% off online purchases. To score your discount, you need to verify your student status through ID.me and get a promo code.

13. The North Face

The North Face gives students a 10% discount when shopping in store or online. To get the discount in person, simply show your ID at the register. For online purchases, you’ll need to verify your student status on the site.

14. Tommy Hilfiger

Tommy Hilfiger offers students 15% off online or in-store. First, you have to create or log in to your ID.me account.

15. Levi’s

Levi’s offers students 15% off online purchases after you verify your student status on the site.

16. Club Monaco

Students who are Club Monaco fans can get 15% off both online and in-store through Student Beans, a money-saving website and app for college students.

17. Docker’s

Docker’s offers students a generous 25% off all purchases made online. You simply need to verify your student status through the site.

18. H&M

H&M gives students 10% off online orders through UniDAYS.

19. Champion

Champion offers college students 15% off full-price items and 5% off sale items through UniDAYS when shopping online.

Recommended: Guide to Saving Money in College

Restaurants

20. Burger King

You can typically get Burger King deals through Student Beans, such as free any size fries, when you order online and pick up in store.

21. Chick-fil-A

Student discounts vary by location, but many Chick-fil-As offer students deals, such as a free drink with any purchase.

22. Dunkin’

Dunkin’ offers a 10% off student discount at participating locations. To claim the deal, simply show your student ID to your cashier.

23. Arby’s

You can save 10% on your Arby’s meal when you show your student ID at participating locations.

24. Buffalo Wild Wings

Want to catch the game and eat some wings with friends? Students can score 10% off at many Buffalo Wild Wings locations.

25. Waffle House

Looking for a late-night meal? Students can enjoy a 10% discount at participating Waffle Houses.

26. IHOP

If you don’t have a Waffle House nearby, many IHOP locations also offer 10% off for students.

27. Qdoba

Qdoba offers a 10% student discount when you show a valid student ID at participating locations.

28. Taco Bell

Craving a Crunchwrap Supreme? You can get a 10% student discount at participating Taco Bells.

💡 Quick Tip: Need a private student loan to cover your school bills? Because approval for a private student loan is based on creditworthiness, a cosigner may help a student get loan approval and a more competitive rate.

Travel & Transportation

29. Zipcar

New Zipcar University members get their first year free. The student membership allows you to reserve cars by the hour or day, and includes gas, secondary insurance, and up to 180 miles per day. (Other fees, such as a young driver fee, may apply.) 

30. Amtrak

Students between the ages of 17 and 24 can travel by Amtrak train for 15% off when booking at least one day in advance.

31. United Airlines

United Airlines offers a 5% flight discount to MileagePlus® members who are 18 to 23 years old. To get the deal, you need to book through the United app.

32. Hotels.com

Through Student Beans, you can get a 10% student discount at Hotels.com. You’ll get a discount code that you can use at checkout. Better yet, it can be applied on top of on-site promotions.

33. FlixBus

You can get 10% off Flixbus tickets with Student Beans. Simply use your FlixBus student discount code at checkout.

34. Hertz

Hertz offers up to 25% off, and up to 2.0% cash back, for students through ID.me.

35. Budget Truck Rentals

Budget Truck Rentals offers students 20% off local moves and 15% off one-way moves any day of the week. Use the discount code TRUKU.

36. Penske

Penske offers college students a 10% discount on all truck rentals and unlimited miles on one-way moving truck rentals. Simply use the discount code STUDENT at checkout. You’ll need to provide a college ID or proof of enrollment status at pickup to receive the discount.

37. Red Coach

RedCoach offers high school, college, and graduate students 10% off tickets. To get the discount, check the student option at checkout then show your student ID card to the driver along with your ticket.

Recommended: College Move-In Day Tips for Parents

Entertainment

38. AMC

Students get a lower ticket price at select AMC theaters every day. Just bring your photo student ID (and maybe some extra money for popcorn).

39. Cinemark

Student discounts at Cinemark vary by location and time of day, so check with the local box office to see what kind of deal you can snag.

40. Apple Streaming

Apple’s student music subscription is $5.99 per month for up to 48 months (normally $10.99 per month). You also get Apple TV at no extra cost.

41. Hulu

Hulu offers students its ad-supported plan for just $1.99 a month (an 83% discount). If you’re interested in a bundle, check out the deal below.

42. Spotify Bundle

As a student, you can get Spotify Premium Student with Hulu (with ads) free for one month and $5.99/month after that. You can cancel anytime.

43. The Washington Post

The Washington Post has a digital all-access student subscription plan for just $1 every four weeks for one year, then $7 every four weeks after that.

44. Paramount+

As a student, you can get 50% off any Paramount+ Plan. You just need to verify your student status on their website.

45. YouTube Premium

YouTube Premium (which allows you to enjoy YouTube and YouTube Music ad⁠-⁠free) is available to students at a discounted rate of $7.99 a month, after a free one-month trial. You can cancel at any time.

46. The Economist

The Economist offers students an Espresso subscription (which offers quick daily updates on important issues) for free and an annual digital subscription for $62.25, a steep 75% off.

💡 Quick Tip: Even if you don’t think you qualify for financial aid, you should fill out the FAFSA form. Many schools require it for merit-based scholarships, too.

Home Goods

47. Ghost Bed

As a student or teacher, you can get 27% off your entire order at GhostBed. To take advantage of the deal, just click on the ID.me button and then “Student ID” to sign up and get verified.

48. Mattress Firm

After verifying your student status through ID.me, Mattress Firm will give you a single-use coupon code that can be used in-store or online. You get an extra 20% off select purchases or an extra 10% off Purple with the code.

49. Purple

You can also get a 10% discount directly from Purple. Once you verify your eligibility, you’ll be emailed a coupon for 10% off your order.

50. Helix

After verifying your student status at Helix, you’ll receive a one-time 25% discount code to apply during checkout.

51. Puffy

Puffy offers a generous student and educator discount — $1,425 off any Puffy mattress.

52. Brooklyn Bedding

Brooklyn Bedding offers a 5% discount and free shipping to students. You simply need to verify your eligibility through ID.me.

The Takeaway

Student discounts can help you save on everything from food and clothing to electronics and entertainment. Even with these deals, however, you may still need help covering your college expenses.

If you completed the FAFSA and didn’t get enough financial aid to pay all of your school bills, keep in mind that you may be able to get a private student loan to help fill in any gaps. Unlike federal student loans, which have strict application deadlines, you can apply for private student loans at any time — including mid-semester.

Private student loans also allow you to borrow up to 100% of the school-certified cost of attendance. Just keep in mind that private student loans don’t offer the borrower protections — like income-driven repayment plans and deferment or forbearance — that come with federal student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

Cover up to 100% of school-certified costs including tuition, books, supplies, room and board, and transportation with a private student loan from SoFi.

FAQ

How many times can you use a student discount?

It depends on the company. Some retailers and restaurants allow you to use your student discount once per visit or purchase; others limit you to a certain number of times per month or year.

How much is the average student discount?

Student deals typically give you 10% to 15% off, though you may find some discounts for 50% off or even higher. In some cases, a student discount may come with restrictions, such as only being able to use it on full-price merchandise. So it’s always a good idea to compare your student discount to any other available deals and sales.

Do student discounts only apply to college students?

Typically, student discounts only apply to college and graduate students. In some cases, high school students can get deals if they have an email that ends in .edu. The colleges and programs that retailers recognize can vary, but you can expect most major colleges and universities to be eligible.

---

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Bank, N.A. and its lending products are not endorsed by or directly affiliated with any college or university unless otherwise disclosed.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SOISL-Q425-020

Read more

An estimated 20% of Americans have $10,000 or more in credit card debt.

Five-figure credit card debt, and the interest that accrues along with it, can feel overwhelming. It’s the kind of debt that keeps people up at night, and prevents them from pursuing their other financial goals.

But, that debt doesn’t have to stick around forever. With a strategy, chipping away at a $10,000 in credit card debt is achievable. Here are some options for how to pay off $10,000 in credit card debt.

Tips for Paying Off $10,000 in Credit Card Debt

Paying down $10,000 in credit card debt takes discipline and time. These tips and tools could help speed up the journey toward debt freedom.

Consider a Side Hustle

If your budget doesn’t have much wiggle room to make extra payments toward credit card debt, you might consider finding ways to generate more income. Starting a side hustle could be a powerful way to pay down a $10,000 credit card debt faster. Whether it’s grabbing a job in the gig economy or taking a catering job on the weekends, you can put those paychecks toward your credit card debt.

Ask for a Raise

If time is limited for a side hustle, think of how you could make more money in your current role. Is it time to ask for a raise, for instance?

Similarly, switching jobs may land you a higher salary. Just make sure that extra income goes toward debt payoff, and not lifestyle creep.

Switch to Cash

When you’re paying down $10,000 in credit card debt, it’s important to avoid accruing a higher balance. Adding more debt can not only feel discouraging, it can extend your payoff timeline.

As you tackle paying down debt, consider avoiding any further spending on credit cards. That can take the form of paying for things in cash, or using a debit card where you can only spend what you actually have. Making a switch to cash means you’re less likely to add to your burden of debt.

Recommended: What Is the Trump Credit Card Interest Cap?

Debt Management Plans

While tips and tricks may help you pay down $10,000 in credit card debt, you may have to consider a larger overall strategy to move you towards payoff. Having a debt management plan in place can take some of the pressure away and could put you on a track toward paying off debt faster.

Two popular methods to accelerate debt repayment include the snowball and avalanche method.

Snowball Method

The snowball method prioritizes paying off small debts first and working your way up. Here’s how:

1.    Make the minimum monthly payments on all debts.

2.    Take inventory of all your debts and order them from lowest outstanding balance to highest.

3.    Put any extra cash toward the smallest balance debt.

4.    Repeat this until the lowest debt is paid off.

5.    Next, move onto the next lowest debt, adding the surplus cash from step 2 to this card’s monthly payments.

6.    Continue to repeat this process, scaling up to the high-balance debts once you pay off the lower ones.

While this method can seem counterintuitive because of the interest that high balances can generate, starting off with small wins has psychological benefits for some. Having those wins early on may motivate you to move forward.

If you tend to be more disciplined and don’t mind playing the long game, you might prefer the debt avalanche method to pay off $10,000 in debt. Here’s how to deploy the avalanche method:

1.    Make minimum payments on all debts.

2.    Compile all your debt, and order it by interest rate from highest to lowest.

3.    Put any extra cash toward the debt with the highest interest rate.

4.    Repeat until the highest-interest debt it paid off.

5.    Move onto the debt with the next-highest interest rate. Put any extra cash toward this balance until it’s paid off.

6.    Continue this process, prioritizing the highest interest debt first, until all balances are settled.

Typically, the debt avalanche saves more money in interest payments in the long run. However, it can take time to see a win with this method, as opposed to debt snowball.

Recommended: Creating a Credit Card Debt Elimination Plan

Credit Card Debt Forgiveness

Credit card debt forgiveness is not as simple as waving a magic wand at your balances and watching them disappear. Forgiveness does not mean the debt’s completely erased, and it comes with its own drawbacks.

Credit card debt forgiveness only becomes an option when a cardholder stops paying their debt and the credit card company sells the outstanding balance to a debt collector. From there, you can negotiate with the debt collector as to how much debt to repay.

Debt collectors typically buy debts for far less than their face value, and thus are willing to recuperate just a portion of the initial amount owed. For example, if you owe $10,000 in credit card debt and it goes to collections, you may be able to negotiate to settle the debt for just $5,000. That payment may be a lump sum or small payments over time.

While credit card debt forgiveness means paying less than the total owed, it has a fair share of drawbacks. Neglecting credit card debt can wreak havoc on a person’s credit score, and you’ll still need to pay some portion of the debt.

Additional Options for Paying Off Debt

Credit card debt forgiveness isn’t the only route toward paying off $10,000 in credit card debt. Depending on your situation, one of the following solutions may work.

Balance Transfers

Some credit card companies allow cardholders to make credit card balance transfers. That means you transfer the outstanding balance from one credit card to another, often with an introductory low interest rate or no interest.

Balance transfers do come with fees, but depending on how much you owe and how much you could save on interest, it could be worth it in the long run. However, keep in mind the interest rate the balance transfer offers may be for a limited time. You’ll want to pay off the remaining balance before the rate rises, or you could owe more than you did before the transfer.

Personal Loans

There are a number of common uses for personal loans, including paying off credit card debt. Often, a personal loan will have a lower interest rate than credit cards, which could help you pay down your debt faster and save on interest. If you’re struggling to figure out how to pay off $10,000 in credit card debt, consolidating multiple balances into a single loan also may streamline the process.

Your credit score can impact if you get approved for a personal loan, as well as what interest rate you receive. If you have a less than stellar credit score, you may not get approved.

Using a personal loan calculator can help you determine if this strategy will net you savings and, if so, how much.

💡 Quick Tip: Credit card interest rates average 20%-25%, versus 12% for a personal loan. And with loan repayment terms of 2 to 7 years, you’ll pay down your debt faster. With a SoFi personal loan for credit card debt, who needs credit card rate caps?

The Takeaway

Paying down $10,000 in debt might not be easy, but with the right strategies, it is possible. This could mean adopting an aggressive payoff method or looking for additional options to pay down the debt, like personal loans.

Credit cards have an average APR of 20%–25%, and your balance can sit for years with almost no principal reduction. Personal loan interest rates average 12%, with a guaranteed payoff date in 2 to 7 years. If you’re carrying a balance of $5,000 or more on a high-interest credit card, consider a SoFi Personal Loan instead. See your rate in minutes.

SoFi’s Personal Loan was named a NerdWallet 2026 winner for Best Personal Loan for Large Loan Amounts.

FAQ

How do I get out of credit card debt with high interest?

You have options when it comes to paying off credit card debt. One to consider is the avalanche method, which involves paying off the card with the highest interest rate first while making minimum payments on other cards. Then, move on to the debt with the next-highest interest rate, and continue the process until you have no more balances.

Should I seek credit card forgiveness?

Credit card forgiveness isn’t common. That said, you may be able to negotiate with your creditor to reduce the amount you owe, which can help relieve some of your debt burden.

How long will it take to pay off $10k in credit card debt?

The length of time it will take you to pay off $10,000 in credit card debt depends largely on the amount of your monthly payment and your card’s APR. Consider this example: If you have an APR of 21.95%, and make monthly payments of $500, it will take you 26 months to pay off the debt. If you can swing a larger monthly payment of $1,000, it would take you 12 months.

---

Photo credit: iStock/ArtistGNDphotography

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOPL-Q225-008

Read more

Revolving credit is a flexible type of borrowing that allows you to access money as you need it (up to predetermined limit), repay some or all of the balance, and then borrow again. Unlike a one-time loan, revolving credit becomes available again — or “revolves” — as you pay it back. This makes it a convenient option for covering ongoing expenses or handling emergencies.

Common examples of revolving credit include credit cards, personal lines of credit, and home equity lines of credit (HELOCs). Understanding how revolving credit works, how it compares to other types of debt, and how to use it responsibly can help you avoid high-interest debt traps and maintain a healthy credit profile.

How Revolving Credit Works

When you open a revolving credit account, your lender sets a credit limit, which is the maximum amount you can borrow at any given time. You can use all or part of this limit, and you only pay interest on the amount you borrow, not the entire limit.

As you make payments, your available credit increases. For example, if your credit limit is $5,000 and you spend $1,000, you’ll have $4,000 in available credit. If you pay back the $1,000, your available credit goes back up to $5,000.

Revolving credit accounts usually require a minimum monthly payment to keep the account in good standing. If you carry a balance from one statement period to the next, you’ll pay interest on your balance. Annual percentage rates (APRs) vary but can be steep for credit cards.

💡 Quick Tip: There is a lot of debate around credit card interest caps. For consumers carrying high-interest credit card balances, however, one of the shortest paths to debt relief is switching to a lower-interest personal loan. With a SoFi credit card consolidation loan, every payment brings you closer to financial freedom.

Revolving Debt vs. Installment Debt

Revolving debt is different from installment debt (or non-revolving credit) in a few key ways:

•   Structure: Installment loans (like mortgages, personal loans, or auto loans) give you a lump sum upfront, which you repay in fixed monthly installments over a set term. Revolving credit allows you to continuously borrow and repay within your credit limit.

•   Repayment: Installment loans have fixed payment schedules and, in some cases, there may be a prepayment penalty. Revolving accounts offer variable payments depending on your balance.

•   Interest rates: Revolving credit often has higher interest rates than installment loans, especially unsecured revolving accounts like credit cards.

•   Usage flexibility: Revolving credit is generally more flexible than installment debt, since it lets you borrow as needed without reapplying for a loan. Also, some installment loans are only approved for a specific purpose, such as a car loan or mortgage.

Both types of debt can be useful tools. Which one is a better fit will depend on your borrowing needs. Revolving credit can be a good option for short-term or variable expenses, while installment debt is generally better for large, fixed purchases.

Recommended: Revolving Credit vs Line of Credit

Secured vs. Unsecured Debt

Revolving credit can be either secured or unsecured:

•   Secured revolving credit: With this type of credit, you must pledge an asset as collateral to guarantee repayment. If you fail to make payments according to the loan agreement, the lender has the right to seize and sell the collateral to recover their losses. Examples of secured revolving credit include a HELOC (backed by your home) and a secured credit card (backed by a savings account). Secured revolving accounts often have lower interest rates due to reduced risk to the lender.

•   Unsecured revolving credit: An unsecured debt is not backed by collateral. If you fail to repay the debt, the lender cannot automatically seize a specific asset (like your house or car) to recover their losses. Instead, they rely on your promise to pay. Most credit cards and personal lines of credit are unsecured. Because lenders take on more risk, interest rates on unsecured debts tend to be higher than they are on secured debts.

Types of Revolving Credit

Here’s a look at some of the most popular types of revolving credit.

Credit Cards

You can use a credit card to make purchases, pay bills, or withdraw cash up to your credit limit. If you pay your balance in full each month, you can generally avoid interest charges. If you carry a balance, on the other hand, interest will accrue, often at rates above 20% APR. Credit cards may also offer rewards, cash back, or other perks, making them a potentially valuable financial tool when managed well.

Personal Lines of Credit

A personal line of credit is similar to a credit card but with a few key differences. For one, they typically have a draw period and a repayment period. During the draw period (often two to five years), you can access your credit line and use the funds for virtually any purpose. When you make payments during this period, you free up funds to borrow again. At the end of the draw period, you’ll begin the repayment period. During this period, you no longer have access to the line of credit and must pay off the balance in full.

Home Equity Lines of Credit (HELOCs)

A HELOC is a revolving line of credit secured by your home’s equity, and your home is used as collateral for the credit line. During your draw period (often 10 years), you can borrow up to your credit limit as needed. As you repay your balance, the funds are available to borrow again. After the draw period, you enter the repayment period (usually 20 years).

HELOCs typically have lower interest rates than unsecured revolving credit because they’re backed by collateral. They are often used for home improvements, emergency expenses, or consolidating higher-interest debt. However, because your home is at risk if you default, they require careful consideration.

How Revolving Debt Can Affect Your Credit Score

Revolving credit can have both positive and negative impacts on your credit profile. Here’s a breakdown of the key factors involved in calculating your credit score and how revolving credit can impact each of them:

•   Credit utilization ratio: Your credit utilization ratio measures how much of your available credit you’re using on your credit cards and other lines of credit and is expressed as a percentage. A high utilization (above 30%) can negatively influence your credit file, while keeping it low can have a positive influence.

•   Payment history: Making regular, on-time payments on a revolving credit account adds positive information to your payment history. Late or missed payments, on the hand, can do significant credit damage.

•   Length of credit history: Lenders often view a longer history of responsible credit management as a positive indicator of your creditworthiness. Keeping revolving accounts open and in good standing over many years can have a favorable impact on your credit profile.

•   Credit mix: Your credit mix describes the different types of credit accounts you have. A healthy mix of revolving and installment accounts can positively influence your credit.

Bottom line: If you max out your credit limits or fall behind on your payments, revolving credit can adversely impact your credit. However, if you consistently pay on time and keep your credit utilization ratio low, a revolving credit account can benefit your credit file over time.

Tips for Managing Revolving Debt

If you’re struggling to manage credit card (or other revolving credit) balances, these strategies can help you get ahead of your debt and potentially save money on interest.

Budget Strategies

Making some shifts in your budget can help you pay down your balances systematically. Two strategies to consider:

•   The debt avalanche: This method focuses on paying off the debt with the highest interest rate first, while making minimum payments on the rest. Once the highest-rate debt is cleared, you target the next-highest, and so on. This minimizes total interest paid and can save you money over time.

•   The debt snowball: Here, you target the debt with the smallest balance first, regardless of interest rate. After paying off the smallest debt, you apply its payment amount to the next smallest, and so on. This approach provides quick wins, which can boost motivation and momentum.

Debt Consolidation

If you have multiple high-interest debts, consider consolidating them into a single loan, such as a personal loan, with a lower interest rate. This can simplify repayment and potentially reduce interest costs. An online debt consolidation calculator can help you determine how much you could potentially save by taking out a personal loan and using it to pay down your current balances.

💡 Quick Tip: Some personal loan lenders can release your funds as quickly as the same day your loan is approved.

Balance Transfer

A balance transfer involves moving your revolving debt from one credit card to another card that has a lower or 0% introductory APR. This can save money on interest, but be mindful of transfer fees and the length of the promotional period.

Credit Counseling

Working with a nonprofit credit counseling agency can be a good way to get free or low cost help with managing revolving debt. A certified counselor can help create a debt management plan, negotiate lower interest rates, and provide education on responsible credit use. This can be a good option if you’re struggling but want to avoid more damaging solutions like bankruptcy or settlement.

Debt Settlement

If you’re struggling with high-interest revolving debt and have exhausted other solutions, you might consider debt settlement. This involves negotiating with creditors, typically through a third-part debt settlement company, to accept less than the full amount owed. While this can reduce your total debt, it typically hurts your credit and should only be considered as a last resort before bankruptcy.

The Takeaway

Revolving credit offers flexibility and convenience, which can make it a handy tool for managing expenses and building credit. However, its easy access and potentially high interest rates mean it can also become a financial burden if mismanaged.

By understanding the differences between revolving and installment debt, knowing the types of revolving credit available, and following sound debt management practices, you can make revolving credit work for — and not against — your financial health.

Credit cards have an average APR of 20%–25%, and your balance can sit for years with almost no principal reduction. Personal loan interest rates average 12%, with a guaranteed payoff date in 2 to 7 years. If you’re carrying a balance of $5,000 or more on a high-interest credit card, consider a SoFi Personal Loan instead. See your rate in minutes.

SoFi’s Personal Loan was named a NerdWallet 2026 winner for Best Personal Loan for Large Loan Amounts.

FAQ

Are revolving credit and revolving debt the same thing?

Revolving credit and revolving debt generally refer to the same thing — a type of debt where you can draw funds as needed, repay the money, and then borrow it again. This differs from installment debt, where you borrow a fixed sum of money and agree to pay it back over a set period through regular, fixed payments. Revolving credit or debt comes with credit limits and typically has variable interest rates. With this type of credit, you only pay interest on what you borrow, not the entire credit line.

Does revolving debt hurt your credit score?

Revolving debt can affect your credit in positive and negative ways, depending how it’s managed. If you carry large balances or max out cards, it will increase your credit utilization rate (how much available credit you’re using) and suggest higher credit risk to lenders. Missing payments or paying late can also negatively impact your credit file. However, if you keep credit utilization low and make on-time payments consistently, having revolving debt can strengthen your credit profile over time.

How can I reduce my revolving debt quickly?

To reduce revolving debt quickly, focus on paying more than the minimum each month and target high-interest balances first (the avalanche method) to save on interest. You can also try the snowball method — paying off smaller debts first — for quicker wins. Another option is to consolidate balances with a lower-interest personal loan or a balance transfer card with a 0% annual percentage rate (APR). This can reduce costs and help speed repayment.

What is a good credit utilization ratio for revolving accounts?

A good credit utilization ratio is generally below 30%, meaning you’re using less than 30% of your total available credit. For example, if your combined credit limit is $10,000, you’ll want to try to keep balances under $3,000. Credit scoring models often reward lower usage because it signals responsible credit management and less risk of default.

Can you have too much revolving credit?

Yes, it’s possible to have too much revolving credit. While a high credit limit offers a potential safety net and might positively impact your credit file (by lowering your credit utilization ratio), it also comes with some potential downsides. One is that having access to multiple open credit lines can tempt overspending. Another is that lenders may view high credit limits as a potential risk, since you could potentially utilize all that credit. This could make it harder to qualify for loans and credit with favorable terms in the future.

---

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

Third Party Trademarks: Certified Financial Planner Board of Standards Center for Financial Planning, Inc. owns and licenses the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®

SOPL-Q325-013

Read more

The average student loan debt for a graduate with a bachelor’s degree is $35,530, according to the latest data from the Education Data Initiative (EDI).

The specific amount of student loan debt a borrower has depends on factors like the type of school they attended, whether or not they pursued an advanced degree, and any scholarships they may have received.

Read on for more details about the average student loan debt after graduation and information about repaying student loans.

Average Student Loan Debt After College

As noted, the latest data from the Education Data Initiative found that the average student debt after four years of college was $35,530 per borrower. Forty-four percent of borrowers with undergraduate and graduate degrees have student loan debt, according to the EDI.

As of May 2025, the total amount of student loan debt in the U.S. was approximately $1.77 trillion. According to EDI, 42.7 million borrowers have student loan debt.

How Student Loan Debt Has Changed Over the Last Decade

It’s no secret that college is expensive and has only gotten more costly in the last decade or so. According to data compiled by U.S. News & World Report, the cost of attending in-state public universities increased by nearly 133% from 2005 to 2025.

Student loan debt statistics are just as eye-opening. From 2014 to 2024, total outstanding student loan debt grew from $1.24 trillion to $1.77 trillion in order to cover those costs. This student loan debt is taking a financial toll on graduating students, potentially affecting their credit and home-buying prospects, among other things.

Student Loan Debt at Public vs. Private Colleges

According to the latest information from the Education Data Initiative, graduates of public four-year institutions had an average college debt of $35,530, compared to private, nonprofit school borrowers, who graduated with an average debt of $39,510.

Those who attended four-year private for-profit colleges had an average debt of $47,730. Students at for-profit schools tend to take out more in student loans.

Undergraduate vs. Graduate Student Loan Debt

There are also some significant differences in the student loan debt of undergraduate and graduate students. The College Board’s annual survey of student aid trends found that, on average, undergraduates took out $3,900 in federal student loans in the 2023-2024 school year. That same year, graduate students took out $17,240 in federal loans.

There are about 6.8 million people under the age of 24 with student loan debt. As a group, they owe just over $96.3 billion, according to Federal Student Aid, an office of the U.S. Department of Education.

Student Loan Debt by State: How Does It Compare?

Federal student loan debt totals average approximately $29.9 billion per state (including the District of Columbia and Puerto Rico), according to the Education Data Initiative.

The latest data from EDI show that the District of Columbia has the highest student loan debt, and North Dakota has the lowest — as well as the distinction of being the only state in which the average student debt ($29,647 per borrower) is less than $30,000.

These are the 10 states with the highest average student loan debt per borrower:

•   District of Columbia: $54,795

•   Maryland: $43,692

•   Georgia: $42,026

•   Virginia: $40,137

•   Florida: $39,262

•   Illinois: $39,055

•   South Carolina: $38,770

•   North Carolina: $38,695

•   New York: $38,690

•   Delaware: $38,683

The states with the lowest average student loan debt per borrower are:

•   Kansas: $33,119

•   Wisconsin: $32,628

•   Nebraska: $32,377

•   West Virginia: $32,358

•   Oklahoma: $32,103

•   Wyoming: $31,503

•   Puerto Rico: $32,022

•   South Dakota: $30,928

•   Iowa: $30,925

•   North Dakota: $29,647

What’s the Average Monthly Student Loan Payment?

Borrowers’ monthly student loan payment can vary depending on the amount of debt they carry — the typical borrower with a bachelor’s degree owes $35,530 after four years of college — and the type of repayment plan they choose. According to the latest data from the Federal Reserve, typical monthly payments for student loans can range from $200 to $299.

How Long It Takes to Pay Off Student Loans

The standard amount of time it takes to pay off federal student loans is 10 years, but repayment terms can range as long as 20 or 25 years, depending on the repayment plan a borrower opts for.

Options for student loan repayment plans include:

•   Standard Repayment Plan: This gives you 10 years to pay off your loans, and you pay a fixed amount each month. You may pay less overall under this plan because of the relatively short repayment term.

•   Graduated Repayment Plan: Borrowers who choose this plan pay lower monthly payments at the beginning, and the payments gradually increase at two-year intervals. The repayment term is 10 years (30 years for those with a Direct Consolidation Loan).

•   Extended Repayment Plan: Borrowers who owe more than $30,000 in federal student loans may be eligible for this plan. If you qualify, you can extend your loan term up to 25 years, which could make your monthly payments smaller. However, you may pay more in interest overall.

•   Income-driven Repayment (IDR) Plans: These plans base borrowers’ monthly loan payments on their discretionary income and family size. For many borrowers, this means their payments will be lower. The repayment terms for those on income-driven plans is 20 to 25 years. At the end of that time, any remaining balance you owe on your loans may be forgiven.

In general, the sooner a borrower pays off their student loans, the more they may save in the long run because they won’t be accruing interest for as long.

The interest rate on student loans also affects a borrower’s payments. If your student loan interest rate is higher than you’d like, you might want to consider student loan refinancing to see if you can qualify for a lower interest rate or more favorable terms.

Another option is loan consolidation. If you have federal student loans, a Direct Consolidation Loan allows you to combine them into one single loan. Although this may not save you money, it could simplify your payments since you’ll have just one bill to pay.

You can consider the pros and cons of student loan consolidation vs refinancing to determine if either option is right for you.

Refinancing Student Loans With SoFi

Those in search of options to manage student loan payments might consider student loan refinancing. This process involves replacing your current student loans with a new loan from a private lender. Ideally, you may qualify for a lower interest rate.

Borrowers who refinance may also be able to adjust their repayment term. Extending the term could lower your monthly payments, but you might also end up paying more over the life of the loan.

It’s possible to refinance both private and federal student loans. Just be aware that refinancing federal loans with a private lender means losing access to federal benefits like income-based repayment.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

With SoFi, refinancing is fast, easy, and all online. We offer competitive fixed and variable rates.

FAQ

What is the average student debt after college in 2026?

The average student loan debt after college for a borrower with a bachelor’s degree is $35,530. On average, 20% of all U.S.adults with undergraduate degrees have student loan debt.

Is $50,000 more than the average student debt after college?

Yes, $50,000 is a significant amount of student loan debt. According to data from the Education Data Initiative, the average student loan debt in the U.S. for an undergraduate is $35,530.

How many U.S. borrowers have student loan debt in 2026?

In the U.S., 42.7 million borrowers have student loan debt, according to the Education Data Initiative.

What is the average someone pays a month for student loans?

The average monthly student loan payment is approximately $200 to $299, according to the latest date from the Federal Reserve. However, the amount a borrower pays per month will vary based on factors like their total loan amount, their interest rate, and the repayment plan they selected.

What is the total student loan debt in the U.S. in 2026?

The total amount of student loan debt in the U.S. is approximately $1.77 trillion, as of May 2026, according to the Education Data Initiative.

How long does it take most borrowers to pay off student loans in 2026?

The time it takes borrowers to pay off their federal student loans typically ranges from 10 to 25 years, depending on their financial situation and the repayment plan they’re on. The repayment terms for private student loans vary.

What is the average amount of student debt for college graduates today?

The average amount of student debt for college graduates with a bachelor’s degree today is $35,530, according to the Education Date Initiative. Borrowers who graduated from public four-year colleges have $31,960 in student debt; those who attend private nonprofit colleges owe $39,510; and graduates of private for-profit schools owe $47,730 in debt.

---

SoFi Student Loan Refinance
Terms and conditions apply. SoFi Refinance Student Loans are private loans. When you refinance federal loans with a SoFi loan, YOU FORFEIT YOUR ELIGIBILITY FOR ALL FEDERAL LOAN BENEFITS, including all flexible federal repayment and forgiveness options that are or may become available to federal student loan borrowers including, but not limited to: Public Service Loan Forgiveness (PSLF), Income-Based Repayment, Income-Contingent Repayment, extended repayment plans, PAYE or SAVE. Lowest rates reserved for the most creditworthy borrowers. Learn more at SoFi.com/eligibility. SoFi Refinance Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Third Party Trademarks: Certified Financial Planner Board of Standards Center for Financial Planning, Inc. owns and licenses the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SOSLR-Q225-016

Read more