New Jersey Student Loan & Scholarship Information
New Jersey is an amazing place to attend school. There are all kinds of remarkable institutions offering an array of programs. Learn how to make a New Jersey education as affordable as possible with these scholarships, grants, and loan repayment programs you may be eligible for.
Average Student Loan Debt in New Jersey
If you’re attending school in New Jersey or thinking about it, you may be wondering what the average New Jersey state student loan debt is. According to a 2023 report, 63% of New Jersey college attendees have student loan debt, with an average balance of $35,117.
63%
of New Jersey college
attendees have
student loan debt.
SoFi offers simple student loans that work for you.
New Jersey Student Loans
Federal Student Loans
Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.
To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.
You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.
Recommended: FAFSA Guide
Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.
Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).
Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.
PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.
Recommended: Types of Federal Student Loans
Private Student Loans
Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.
Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.
Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.
If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.
Scholarships & Grants
Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.
There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).
There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).
Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?
New Jersey Scholarships & Grants
In addition to federal programs, there are also dedicated grants and scholarships for students going to college in New Jersey. Check into these options, and hopefully you’ll find the perfect fit!
New Jersey Student Tuition Assistance Reward Scholarship
Students who are New Jersey residents and rank in the top 15.0% of their class at the end of their junior or senior year of high school could be eligible for this scholarship. Known as the NJ STARS award, it can cover the cost of tuition, minus any state or federal grants or scholarships, for up to five semesters. The award must be used at a college within their home county (with some exceptions).
Governor’s Industry Vocations Scholarship
Recipients may receive up to $2,000 from this scholarship program. The award is designed to benefit eligible women and students of color who are enrolled in a construction-related educational program.
World Trade Center Scholarship
This scholarship assists eligible dependent children and surviving spouses of New Jersey residents who were killed or died as a result of injuries or illnesses incurred by the tragic events of September 11, 2001. Award amounts vary based on available funding or a student’s access to other forms of financial assistance.
New Jersey Survivor Tuition Benefits Program & Law Enforcement Officer Memorial Scholarship
The children and spouses of New Jersey firefighters, emergency service workers, and law enforcement officers who died in the line of duty may qualify for this scholarship. Students can receive free tuition at any public institution of higher education in New Jersey. Some funding may be given to students at select independent institutions, too.
Governor’s Urban Scholarship
A merit-based scholarship program that aims to benefit eligible students who belong to economically-challenged communities in the state of New Jersey. Students must rank in the top 5% of their high school class.
New Jersey Foster Care Scholars Program
This program offers funding for educational expenses for eligible students who have experienced a CP&P (Child Protection and Permanency) out-of-home placement, CP&P independent living arrangement, or a transitional living program. Recipients must be seeking a post-secondary degree at an accredited college, university, or technical school.
Get low-rate in-school loans that work for you.
New Jersey Student Loan Repayment & Forgiveness Programs
If you’ve taken out student loans to attend a school in New Jersey, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.
Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.
For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.
For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.
10-30
Years
New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.
Federal Student Loan Repayment Options
The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.
Standard Repayment Plan
This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.
Repayment Assistance Program
This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.
Graduated Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.
Extended Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.
Saving on a Valuable Education (SAVE)
This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.
Income-Based Repayment (IBR)
IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.
Still not sure which payment plan is right for you?
For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.
Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.
Student Loan Refinancing
One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.
Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.
But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.
Student Loan Forgiveness
At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.
Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.
Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.
Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:
Public Service Loan Forgiveness (PSLF)
The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).
Teacher Loan Forgiveness
Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.
Perkins Loan Cancellation
Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.
Total and Permanent Disability Discharge
Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.
Death Discharge
Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.
Bankruptcy Discharge
Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”
Closed School Discharge
Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.
New Jersey Specific Student Loan Forgiveness Programs
Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.
Primary Care Practitioner Loan Redemption Program
This program encourages physicians, dentists, physician assistants, certified nurse practitioners, certified nurse midwives, and psychiatrists to practice in medically underserved areas of New Jersey. Loan repayment assistance is provided in exchange for agreeing to work in medically-underserved areas. Repayment amounts range as high as $200,000 for two to four years of service.
Nursing Faculty Loan Redemption Program
Graduate student loan redemption is offered in exchange for service as a full-time faculty member at a school of nursing in the state of New Jersey. Recipients must agree to work in such a position for a five-year period following the completion of an approved graduate degree program. This program maxes out at $50,000 in student loan redemption.
SoFi Private Student Loans
In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.
We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.
If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.
Read more
Wyoming Student Loan & Scholarship Information
When you think of wide open Western spaces and beautiful vistas, Wyoming may come to mind. Studying amid that natural splendor is one perk, but great schools is another key reason to consider getting your degree in Wyoming. If you’re thinking it might be the right fit for you, there are scholarships, grants, and student loan forgiveness programs in the state that can make your education more affordable.
Average Student Loan Debt in Wyoming
As you’re thinking about enrolling in college in Wyoming, you’re likely wondering what the state’s average student loan debt is. According to a 2023 report, 48% of Wyoming college attendees have student loan debt, with an average balance of $23,510.
48%
of Wyoming college
attendees have
student loan debt.
SoFi offers simple student loans that work for you.
Wyoming Student Loans
Federal Student Loans
Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.
To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.
You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.
Recommended: FAFSA Guide
Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.
Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).
Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.
PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.
Recommended: Types of Federal Student Loans
Private Student Loans
Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.
Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.
Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.
If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.
Scholarships & Grants
Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.
There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).
There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).
Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?
Wyoming Scholarships & Grants
If you are looking for Wyoming college scholarships or grants, look no further! These gift aid options can help you manage the costs of college, with no repayment required.
GEAR Up Wyoming
This program aims to increase the number of low-income students who graduate high school and enter a post-secondary educational institution, as well as help students improve their access to career and life opportunities. The program typically serves at least 2,000 students from across the state annually.
Douvas Scholarship
This is a scholarship for high school seniors who demonstrate financial need and are motivated to attend college. One $500 scholarship is awarded annually to an eligible student who aims to attend the University of Wyoming or one of the Wyoming community colleges.
Hathaway Scholarship
Qualified Wyoming high school or home school graduates can apply for this scholarship if they are attending one of Wyoming’s community colleges or the University of Wyoming. The scholarship has four different merit-based tiers with different award amounts for each one, plus a needs-based scholarship. Awards can go as high as $1,680.
UW-Superior Foundation Scholarship
This scholarship is for eligible freshmen applicants planning to attend the University of Wyoming Superior on a full-time basis who meet select academic standards. It is awarded on a competitive basis.
Trustees Scholars Award
Wyoming high school seniors with strong academic histories can apply for this award granted by the University of Wyoming. Recipients typically have a high school GPA of 3.95. This award covers the cost of tuition, mandatory fees, and university room and board for four years, as long as recipients maintain a cumulative college GPA of at least 3.25.
Get low-rate in-school loans that work for you.
Wyoming Student Loan Repayment & Forgiveness Programs
If you’ve taken out student loans to attend a school in Wyoming, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.
Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.
For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.
For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.
10-30
Years
New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.
Federal Student Loan Repayment Options
The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.
Standard Repayment Plan
This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.
Repayment Assistance Program
This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.
Graduated Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.
Extended Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.
Saving on a Valuable Education (SAVE)
This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.
Income-Based Repayment (IBR)
IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.
Still not sure which payment plan is right for you?
For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.
Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.
Student Loan Refinancing
One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.
Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.
But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.
Student Loan Forgiveness
At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.
Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.
Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.
Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:
Public Service Loan Forgiveness (PSLF)
The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).
Teacher Loan Forgiveness
Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.
Perkins Loan Cancellation
Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.
Total and Permanent Disability Discharge
Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.
Death Discharge
Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.
Bankruptcy Discharge
Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”
Closed School Discharge
Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.
Wyoming Specific Student Loan Forgiveness Programs
Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.
Wyoming Healthcare Professional Loan Repayment Program
Physicians, physician assistants, and dentists, nurse practitioners, registered nurses, mental health clinicians, and certain other health professionals can receive up to $50,000 for two years of full-time practice in a designated Health Professional Shortage Area of Wyoming.
Wyoming Veterinary Loan Repayment Program
Eligible veterinarians can receive up to $30,000 per year depending on the amount of their student loans. Participants of this program must be licensed to practice in the state of Wyoming and commit to practicing food animal veterinary services for at least three years.
SoFi Private Student Loans
In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.
We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.
If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.
Read more
Pennsylvania Student Loan & Scholarship Information
Pennsylvania is home to so many amazing colleges. Good schools, coupled with a beautiful landscape, historical sites, and vibrant cities, make it an exciting place to pursue a degree. But first, you’re probably considering what it will cost. To help you afford to study in the Keystone State, we’ve gathered the intel on student loans, grants, and scholarships. Read on to learn the details.
Average Student Loan Debt in Pennsylvania
Curious about the average student loan debt According to a 2023 report, 64% of Pennsylvania college students have student loan debt, with an average balance of $39,375.
64%
of Pennsylvania college
attendees have
student loan debt
SoFi offers simple student loans that work for you.
Pennsylvania Student Loans
Federal Student Loans
Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.
To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.
You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.
Recommended: FAFSA Guide
Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.
Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).
Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.
PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.
Recommended: Types of Federal Student Loans
Private Student Loans
Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.
Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.
Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.
If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.
Scholarships & Grants
Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.
There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).
There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).
Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?
Pennsylvania Scholarships & Grants
Scholarships and grants can be a terrific way to help pay for your education. These awards don’t have to be paid back, and they are available to students based on need and/or merit, as well as other factors. Take a look at the Pennsylvania grants and scholarships that are available through the Pennsylvania Higher Education Assistance Agency (PHEAA).
PA State Grant Program
This financial assistance program provides funding to eligible Pennsylvania students to help with the costs of higher education at the undergraduate level. The amount varies based on funds available, the number of applicants, and their financial need.
Ready to Succeed Scholarship (RTSS) Program
These scholarships are awarded to high academic achievers whose family income does not exceed a certain threshold and who have been approved for the PA State Grant Program. The minimum award is $500 and can be applied toward the cost of attendance.
Pennsylvania Summer State Grant Program
Eligible students taking summer courses may be eligible for this grant if they are taking summer classes and are enrolled at least half-time at a school that participates in the program.
Pennsylvania Targeted Industry Program (PA-TIP)
PA-TIP was formed to assist students pursuing the skills that are in high demand by employers. This program provides awards to eligible students studying energy, health, advanced materials and diversified manufacturing, and agriculture and food production. These need-based awards currently are as much as $6,000.
Pennsylvania Postsecondary Education Gratuity Program (PEGP)
The PEGP program helps fund the education of children whose parents lost their lives protecting the citizens of Pennsylvania. It provides a waiver for tuition, fees, and on-campus room and board costs charged by public postsecondary institutions. This waiver applies only to charges that remain after all other grants have been applied to a student’s account.
Get low-rate in-school loans that work for you.
Pennsylvania Student Loan Repayment & Forgiveness Programs
If you’ve taken out student loans to attend a school in Pennsylvania, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.
Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.
For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.
For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.
10-30
Years
New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.
Federal Student Loan Repayment Options
The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.
Standard Repayment Plan
This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.
Repayment Assistance Program
This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.
Graduated Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.
Extended Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.
Saving on a Valuable Education (SAVE)
This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.
Income-Based Repayment (IBR)
IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.
Still not sure which payment plan is right for you?
For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.
Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.
Student Loan Refinancing
One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.
Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.
But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.
Student Loan Forgiveness
At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.
Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.
Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.
Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:
Public Service Loan Forgiveness (PSLF)
The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).
Teacher Loan Forgiveness
Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.
Perkins Loan Cancellation
Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.
Total and Permanent Disability Discharge
Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.
Death Discharge
Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.
Bankruptcy Discharge
Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”
Closed School Discharge
Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.
Pennsylvania Specific Student Loan Forgiveness Programs
Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.
Pennsylvania Primary Care Loan Repayment Program
The Department of Health provides loan repayment opportunities to primary care practitioners who work in federally-designated Health Professional Shortage Areas of the state. Award amounts go as high as $80,000 for physicians, dentists, and psychologists, and up to $48,000 for other practitioners.
Pennsylvania Bar Foundation – PA IOLTA Board Loan Repayment Assistance Program
This program helps attorneys employed at IOLTA-funded legal services organizations across Pennsylvania with their undergraduate and law-school loan debt so they can continue to work public service. The loan assistance amount varies.
SoFi Private Student Loans
In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.
We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.
If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.
Read more
Kansas Student Loan & Scholarship Information
If Kansas is your home during your college years, you’ll find there’s plenty to explore when you’re not studying, from the rolling wheat and corn fields to the prairies and the rich Native American heritage. There are many ways to help finance your education in the Sunflower State, including Kansas loans, grants, scholarships, and student loan forgiveness programs. Read on to discover some of the options available.
Average Student Loan Debt in Kansas
If you need some help affording a Kansas education, you’re certainly not alone. According to a 2023 report, 60% of Kansas college attendees have student loan debt, with an average balance of $26,002.
60%
of Kansas college
attendees have
student loan debt.
SoFi offers simple student loans that work for you.
Kansas Student Loans
Federal Student Loans
Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.
To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.
You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.
Recommended: FAFSA Guide
Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.
Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).
Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.
PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.
Recommended: Types of Federal Student Loans
Private Student Loans
Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.
Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.
Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.
If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.
Scholarships & Grants
Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.
There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).
There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).
Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?
Kansas Scholarships & Grants
In addition to the options above, why not investigate some of the only-in-Kansas opportunities to nab a scholarship or grant? This kind of gift aid can be a real help when you’re figuring out how to afford your degree.
Kansas Career Technical Workforce Grant
Students enrolled in an eligible career technical education program at a designated Kansas educational institution may qualify for this grant. Their program must offer select certificates or degrees in a high-cost, high-demand, or critical industry field. Those with financial need are given priority consideration. The maximum award is $1,000 a year for full-time students.
Kansas Comprehensive Grant
Kansas residents with financial need who are enrolled full-time at select colleges and universities in Kansas may apply for this state-funded grant. Award amounts range from $200 to $10,000 at eligible private institutions and $100 to $4,000 at public institutions.
Kansas Nursing Service Scholarship
Recipients are required to practice as an LPN or RN in Kansas and may choose to work for a sponsor, which can increase the amount of funding they receive. These sponsors can be adult care homes, psychiatric hospitals, medical care facilities, home health agencies, local health departments, or state agencies. Those studying to be LPNs are eligible to receive $4,000 a year, and those in an RN program are eligible to receive $5,000 annually.
Kansas State Scholarship
Kansas high school graduates who are designated as state scholars during their senior year of high school may qualify for this need-based scholarship and may receive up to $1,000 a year.
Kansas Teacher Service Scholarship
This scholarship, which can be more than $6,000 per year, includes a merit-based one-year service obligation program for eligible students who are working towards a bachelor’s degree or are currently licensed teachers. To potentially qualify, teachers must be pursuing an endorsement or a master’s degree in hard-to-fill disciplines. Either group may plan to teach in an underserved geographic area to qualify as well.
Recommended: SoFi Scholarship Search Tool
Get low-rate in-school loans that work for you.
Kansas Student Loan Repayment & Forgiveness Programs
If you’ve taken out student loans to attend a school in Kansas, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.
Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.
For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.
For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.
10-30
Years
New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.
Federal Student Loan Repayment Options
The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.
Standard Repayment Plan
This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.
Repayment Assistance Program
This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.
Graduated Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.
Extended Repayment Plan
This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.
Saving on a Valuable Education (SAVE)
This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.
Income-Based Repayment (IBR)
IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.
Still not sure which payment plan is right for you?
For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.
Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.
Student Loan Refinancing
One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.
Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.
But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.
Student Loan Forgiveness
At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.
Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.
Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.
Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:
Public Service Loan Forgiveness (PSLF)
The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).
Teacher Loan Forgiveness
Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.
Perkins Loan Cancellation
Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.
Total and Permanent Disability Discharge
Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.
Death Discharge
Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.
Bankruptcy Discharge
Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”
Closed School Discharge
Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.
Kansas Specific Student Loan Forgiveness Programs
Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.
Rural Opportunity Zones (ROZ) Student Loan Repayment Assistance
People who move to Kansas Rural Opportunity Zones (ROZ) could get student loan reimbursement assistance. You must provide proof that you are an ROZ county resident when you apply; those who qualify may receive up to $15,000 in student loan repayment assistance over 5 years.
Kansas State Loan Repayment Program
Known as Kansas SLRP, this program offers eligible health professionals an opportunity to receive assistance with the repayment of their qualified educational loans in exchange for a minimum 2-year commitment to provide healthcare services at an eligible site in a federally designated Health Professional Shortage Area (HPSA). Physicians and dentists are eligible to receive up to $25,000 annually for repayment of outstanding educational debt. All other eligible health professionals may receive up to $20,000 annually.
Kansas Bridging Plan (KBP)
KBP is a loan forgiveness program for eligible primary care, ob-gyn, and psychiatry residents who practice in Kansas after completing their residency training. Award amounts begin at a minimum of $26,000 in exchange for a 36-month commitment to practice in eligible Kansas counties.
Recommended: College Finder Tool
SoFi Private Student Loans
In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.
We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.
If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.
Read more
Current HELOC Rates in Pittsburgh, PA Today
PITTSBURGH HELOC RATES TODAY
Current HELOC rates in
Pittsburgh, PA.
Disclaimer: The prime rate directly influences the rates on HELOCs and home equity loans.
Turn your home equity into cash. Call us for a complimentary consultation or get prequalified online.
Compare HELOC rates in Pittsburgh.
Key Points
• HELOC interest rates are often determined by adding a percentage margin to the U.S. prime rate.
• Pittsburgh homeowners can borrow up to 85% of their home equity with a HELOC.
• During the draw period, you pay only interest on the amount of the credit line you use.
• HELOC interest rates are adjustable, meaning they change with the market, impacting your monthly payments.
• HELOCs offer flexibility and potentially lower interest rates, but they also come with the risk of foreclosure if the borrower defaults.
• Online calculators can help you estimate monthly payments and interest costs.
Introduction to HELOC Rates
Welcome to a comprehensive guide on HELOC interest rates in Pittsburgh, Pennsylvania. This resource is designed to help you, as a homeowner, navigate the waters of home equity financing. We’ll explore current interest rates, the factors that influence them, and the tools that are available to help you estimate your potential monthly payments. Whether you’re dreaming of a home renovation, looking to consolidate debt, or have other significant expenses on the horizon, we’re here to empower you to make informed financial decisions and find the best HELOC for your needs.
Without further ado, exactly what is a home equity line of credit?
What’s a HELOC?
A HELOC, or home equity line of credit, is a revolving credit line (similar to a credit card) that is secured by the equity in your home. Your equity can be calculated like this: Take the market value of your home and subtract the amount you still owe on it.
Let’s say your home is valued at $245,000 — the average in Pittsburgh — and your mortgage balance is $175,000: $245,000 – $175,000 = $70,000. Your equity level is 28.5%, well within the qualification zone for a HELOC. You can borrow up to 85% of your equity, if you have at least 15% equity in your home. In this example, you could borrow 85% of $70,000, or $59,500.
A HELOC typically has a draw period and a repayment period.
The Draw Period
The draw period is when you can borrow money in increments, up to your credit limit, repay what you’ve borrowed (or carry a balance), and borrow again. Your lender may furnish you with a dedicated credit card or checks, or you can opt for account transfers. You typically make interest-only payments. Bookmark a HELOC interest-only calculator to determine how much you can afford.
The Repayment Period
The repayment period is when you can no longer borrow and must pay back the principal plus interest. HELOCs have variable interest rates, which rise and fall with the market, so your monthly payment amount varies over the 10 or 20 years of the repayment term. A HELOC monthly payment calculator is handy for predicting what you’ll owe.
How Are HELOC Interest Rates Set?
HELOC interest rates are tied to the U.S. prime rate, which is influenced by the Federal Reserve’s policies. Each lender adds its own margin to the prime rate, which is why HELOC rates vary so much. By having a general understanding of how rates are set, you can better anticipate rate fluctuations and decide the optimal time to apply for a HELOC. You’ll also have a better idea of whether current interest rates are high, low, or somewhere in between.
Your personal credit score, debt-to-income ratio, income, and the amount of equity in your home are also key factors in the rate you receive with different types of home equity loans and HELOCs. We’ll explain how to maximize these factors a little later on.
How Interest Rates Impact HELOC Affordability
Even a small change in interest rate can have a big impact on how much you pay back over the term of the HELOC. For example, a $50,000 HELOC at 8.00% over a 15-year repayment period would have a monthly principal-and-interest payment of $478 and total interest of $36,009. At 9.00%, the monthly payment would go up to $507 — not a dealbreaker for most people. It’s the total interest that’s striking: $41,284, more than $5,200 higher than the lower rate. The longer your repayment term, the more that interest will compound.
Recommended: Home Equity Loan Calculator
HELOC Interest Rate Trends
Keeping an eye on the prime interest rate is a smart move. Over the years, it’s yo-yoed between 3.25% (in 2020) and 8.50% (in 2023). These ups and downs can help you foresee changes in your HELOC rate. By arming yourself with this knowledge, you’ll be better equipped to make informed decisions about when and how to get equity out of your home.
Historical Prime Interest Rate
| Date | U.S. Rate |
|---|---|
| 9/19/2024 | 8.00% |
| 7/27/2023 | 8.50% |
| 5/4/2023 | 8.25% |
| 3/23/2023 | 8.00% |
| 2/2/2023 | 7.75% |
| 12/15/2022 | 7.50% |
| 11/3/2022 | 7.00% |
| 9/22/2022 | 6.25% |
| 7/28/2022 | 5.50% |
| 6/16/2022 | 4.75% |
| 5/5/2022 | 4.00% |
| 3/17/2022 | 3.50% |
| 3/16/2020 | 3.25% |
| 3/4/2020 | 4.25% |
| 10/31/2019 | 4.75% |
| 9/19/2019 | 5.00% |
| 8/1/2019 | 5.25% |
| 12/20/2018 | 5.5% |
| 9/27/2018 | 5.25% |
Source: U.S. Federal Reserve
Adjustable vs Fixed Interest Rates
HELOCs often come with adjustable interest rates, which are influenced by market shifts. At the outset, these rates may be lower than fixed rates, which is an appealing start. Yet the potential for change means your monthly payments will also vary. If the prime rate goes up, your HELOC rates are likely to follow. This might make planning your finances a bit more of a puzzle, but it could also work in your favor if interest rates take a dip.
Weighing the advantages and disadvantages of adjustable versus fixed rates is key to selecting the most fitting home equity financing for your financial landscape.
Useful Tools & Calculators
Before you apply for a HELOC, you can use our online tools to help you estimate your monthly payment and interest costs. You might also consider using a home equity loan calculator to compare different loan options and determine whether a HELOC vs. home equity loan will better serve your needs.
Run the numbers on your HELOC.
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Home Equity Loan Calculator
Enter a few details about your home loan and we’ll provide you your maximum home equity loan amount.
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HELOC Payment Calculator
Punch in your HELOC amount and we’ll estimate your monthly payment amount for your HELOC.
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HELOC Interest Only Calculator
Use SoFI’s HELOC interest calculator to estimate how much monthly interest you’ll pay .
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
How to Qualify for a Competitive HELOC Rate
As with any home loan, you need to meet certain criteria for a HELOC. Lenders generally require a minimum credit score in the upper 600s, a debt-to-income ratio below 50%, and at least 15% equity in your home. But different metrics are required to secure the best available interest rate. Additionally, understanding your home’s value and the current market conditions can help you negotiate better terms. By preparing thoroughly and comparing multiple lenders, you can find the HELOC that fits your financial goals.
Improve Your Credit Score
Building your credit score to 700 or above will help you secure the best HELOC rates. How can you boost your credit score? Paying your bills on time, every time, and chipping away at credit card balances can make a big difference. Keep your credit utilization low, and dispute any errors on your credit report. A higher credit score not only increases your chances of getting approved, but it also means you’re more likely to get better terms and conditions.
Calculate Your Debt-to-Income (DTI) Ratio
Your DTI ratio is a simple calculation: your total monthly debt payments divided by your gross monthly income. HELOC lenders generally bestow their best rates to borrowers with a DTI below 36%, but the lower your ratio, the stronger your application. To find your DTI, tally up all your monthly financial commitments — mortgage, car loans, student loans, credit card payments — then divide by your pretax monthly income. A lower DTI can bolster your HELOC application.
Recommended: What Is a Home Equity Loan?
Application Process for a HELOC in Pittsburgh
Many lenders offer the convenience of prequalifying for a HELOC online, which can help you get a sense of the rates available in Pittsburgh and your potential credit limit. Once prequalified, you can move forward with a full application, which entails providing more comprehensive financial and property information.
Step 1: Run the Numbers
First off, check your credit scores and calculate your DTI ratio. Then take a look at your home equity. That’s the difference between what your home is worth and how much you still owe on the mortgage. Making regular mortgage payments is a great way to build equity, but you can also boost it by making home improvements that increase your home’s value. The more equity you have, the better the terms and the more you can borrow with a HELOC.
Step 2: Compare Lenders
When considering HELOC options, be sure to look beyond just the interest rate. Compare qualification requirements, loan minimums and maximums, all associated fees, and the length of both the draw and repayment periods they’re offering. Examining these factors is important. It ensures you’re getting the most favorable terms tailored for your specific financial needs.
Step 3: Submit Your Application
Now get your paperwork in order. You’ll need to gather your identification, income verification, and property information. For income documentation, think recent pay stubs, W-2 forms, and tax returns. If you’re self-employed, a profit-and-loss statement and two years’ tax returns are usually required. Don’t forget to have a homeowners insurance declaration page ready. Once you’re all set, you can submit your HELOC application online, over the phone, or in person.
Step 4: Get an Appraisal
An appraisal is an unbiased, professional evaluation of your home’s worth. The cost generally ranges from $300 to $610. An accurate appraisal is important in determining the maximum amount you can borrow and in meeting the lender’s requirements.
Step 5: Prepare for Closing
Before you can access your HELOC funds, you’ll need to sign all the necessary loan documents and cover any associated fees. Once the official closing of your HELOC is complete, some lenders will have your funds ready within three days. Review the terms and conditions in the loan agreement thoroughly before signing. This way, you can avoid any unexpected surprises and ensure that your HELOC is tailored to your financial needs and expectations.
Closing Costs and Fees
HELOC closing costs are generally more affordable than those associated with home purchases or cash-out refinances. The appraisal fee, which can range from $300 to $610 or more, is often the most significant expense. A title search, if needed, may cost $100 to $450. Additional fees could include application, origination, and administrative costs, as well as annual maintenance fees (up to $250). Some lenders may also charge transaction, inactivity, or early termination fees.
Tax Benefits and Considerations
As a homeowner, you may be eligible to deduct the interest you pay on a HELOC, but only if the loan proceeds are used to substantially improve your primary residence. The current tax law governing this deduction is in effect through 2025. To help you understand the specific and potentially complex tax implications, consult a qualified tax advisor to confirm your eligibility for deductions related to HELOCs.
Alternatives to HELOCs
There are a few alternatives to a HELOC, including a home equity loan, cash-out mortgage refinance, and personal loan. Each option has its own pros and cons.
Home Equity Loan
In contrast to lines of credit, home equity loans deliver a one-time lump sum with a fixed interest rate and a predictable repayment schedule. Typically, you can access up to 85% of your home’s equity with this type of loan. Lenders often look for a credit score of 680 or higher, with many favoring 700 and above. If you need funds right away and prefer a clear-cut repayment plan, a home equity loan could be the right choice for you.
Cash-Out Refinance
A cash-out refinance is a great way to tap into your home’s equity by refinancing your mortgage for more than you currently owe and pocketing the difference. Typically, you need a credit score of 620 or more and a DTI ratio under 43%. You can choose between fixed or variable rates, with the latter potentially granting you more equity access. When weighing a cash-out refinance vs. home equity line of credit, the cash-out option gives you just one monthly payment.
Personal Loan
A personal loan is a versatile, typically unsecured loan that you repay in regular, fixed installments over a period of 2-7 years. The primary advantage of a personal loan is the security it offers your home. Should financial challenges arise, your home is not at risk of foreclosure. Many lenders look for a credit score of 670 or higher. While personal loans are relatively quick to secure, they often come with higher interest rates than HELOCs or home equity loans.
The Takeaway
When considering a HELOC, it’s important to weigh the benefits and risks. HELOCs offer flexibility and potentially lower interest rates, making them suitable for ongoing expenses or variable financial needs. However, they come with the risk of foreclosure if you default. Always compare multiple lenders and understand the terms and conditions before making a decision. For Pittsburgh homeowners, exploring current HELOC rates can help in making an informed choice.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
Unlock your home’s value with a home equity line of credit from SoFi, brokered through Spring EQ.
FAQ
Is a HELOC a good idea right now?
The answer to that question depends on your current financial landscape and the goals you’ve set. HELOCs can be a smart move when interest rates are on the decline, as they often offer more favorable terms than other types of loans. They’re particularly handy for sizable, ongoing expenses like home improvements or consolidating debt. But the variable interest rate can make payments unpredictable, and if you default, you could be facing foreclosure. So before you make a decision, take a good look at your financial stability and weigh the potential risks.
Do you need an appraisal for a HELOC?
Yes, an appraisal is typically required to obtain a HELOC. The appraisal helps determine the current market value of your home, which is important in determining the amount of equity you can borrow against. Lenders use this information to establish your credit limit, which cannot exceed 85% of your home equity. The appraisal is part of the application process and may involve a fee, typically ranging from $300 to $600.
What could prevent you from getting a home equity loan?
There are a few things that might stand in your way, like a less-than-stellar credit score, a high debt-to-income (DTI) ratio, or not enough equity in your home. Most lenders want to see a credit score in the upper 600s, a DTI ratio of 50% or less, and at least 20% equity in your home. If your home’s value has dropped or you still owe a lot on your mortgage, you might not meet the requirements. However, you can still take steps to improve your financial situation and get back on track.
How challenging is it to secure a HELOC?
Acquiring a HELOC can be quite manageable if you meet the lender’s criteria. The key is to have at least 15% equity in your home, a credit score in the upper 600s, and a debt-to-income (DTI) ratio below 50%. The application process involves the verification of income, assets, and property details, often including a home appraisal. While this process can be simpler than that of a home equity loan, it’s crucial to shop around for the best HELOC rates and terms to ensure you secure the most favorable deal.
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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.
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SOHL-Q225-386
More HELOC resources.
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What is a Home Equity Line of Credit
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Different Types of Home Equity Loans
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HELOC vs Home Equity Loan: How They Compare
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