Student Loan Refinancing: Pros, Cons & How to Decide If you graduated with federal or private student loans, refinancing can lower your interest rate and simplify payments—but it also means trading federal protections for private terms. In this guide, we'll weigh the pros and cons and help you decide if refinancing is right for you. Table of Contents 1. What Is Student Loan Refinancing? 2. Benefits of Refinancing 3. Drawbacks to Consider 4. Who Qualifies? 5. How to Refinance 6. Recommendations & Next Steps 1. What Is Student Loan Refinancing? Refinancing replaces your existing loans with a new private loan at a potentially lower APR. You can combine multiple loans—federal and/or private—into one monthly payment with a new term. 2. Benefits of Refinancing Lower Interest Rate: Secure a rate below your current average APR. Simplified Payments: One payment instead of many. Flexible Terms: Choose a repayment term that fits your budget...