Federal Student Loan Consolidation Calculator

How to do it

1. 1
   List your loans

   Type one loan per line: the balance, a comma and the interest rate.

2. 2
   Choose a term

   Leave the term at 0 to use the schedule by balance, or type your own number of years.

3. 3
   Read the new rate

   See the weighted average rate and the new rate rounded up to the nearest 1/8 percent.

4. 4
   Compare payments

   The table compares the monthly payment with and without consolidation.

5. 5
   Compare interest

   Check the total interest and the difference before you decide.

About this tool

A Direct Consolidation Loan combines several federal loans into one loan with one monthly payment. The new fixed interest rate is the weighted average of the old rates, rounded up to the nearest one-eighth of a percent, so consolidation does not lower your rate and may raise it slightly. This calculator takes your loans (balance and rate), works out the weighted average and the new rate, the repayment term from the consolidation schedule and the new payment, and compares the monthly payment and total interest with keeping the loans on a ten-year schedule.

Who this is for Borrowers who have several federal loans with different servicers or different rates, who want one payment or a lower payment, and who want to see the cost before they apply. Consolidation can make life simpler, but a longer term usually means much more interest, so it is worth the numbers.

How the rate is found Multiply each balance by its rate, add the results and divide by the total balance. That is the weighted average rate. The new rate is that figure rounded up to the nearest 0.125 percent. Because rounding is always upward, the new rate is never lower than the average of your old rates.

Why the payment drops The payment is lower mostly because the term is longer. The tool uses a schedule by balance (10 years under $7,500, up to 30 years above $60,000) as the repayment length, and you can type another term of your own. A longer term lowers the monthly payment but raises total interest, which the comparison shows. The schedule table is editable because repayment rules for federal loans were changed by law in 2025 with effect from July 2026, so check the terms your servicer shows.

Worked example Three loans of $12,000 at 4.99 percent, $8,500 at 5.84 percent and $15,000 at 3.73 percent total $35,500. The weighted average is 4.661 percent, which rounds up to 4.75 percent. The term for a balance of $20,000 to $40,000 is 20 years, so the new payment is about $229 a month. Keeping the loans on ten-year schedules costs about $370 a month in total, but over the ten years the total interest is much lower.

Before you consolidate Consolidation can change which repayment and forgiveness options apply to you and can affect progress toward forgiveness. Private loans cannot be included in a federal consolidation. Check the studentaid.gov page and your servicer before you apply. This tool is a calculator, not advice.

Worked example

Three loans of $12,000 at 4.99%, $8,500 at 5.84% and $15,000 at 3.73% give a weighted rate of 4.661%, a new rate of 4.75% and a 20-year term, with a lower monthly payment but more total interest.