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Last update: January 10, 2024

7 minutes read

How Many Times Can You Refinance Your Student Loan?

Are you looking to refinance... again? Explore the ins and outs of refinancing student loans multiple times. Learn about the pros, cons, and smart financial strategies.

By Brian Flaherty, B.A. Economics

Edited by Rachel Lauren, B.A. in Business and Political Economy

Wondering how often you can refinance your student loans? Here's the good news: if you qualify, you can do it as many times as you want. In this post, you'll learn when it makes the most sense to refinance, reasons why you might want to do it, possible downsides, and the benefits of doing it more than once.

Key takeaways

  • You can refinance your student loans as many times as you need, as long as it fits your financial plan
  • Weigh the advantages and disadvantages of refinancing to make sure it works in your favor
  • Each refinancing application involves a hard credit check, which might slightly hurt your credit score

    How many times can you refinance your student loan?

    You can refinance your student loans as many times and as often as you’d like. But keep in mind, it needs to make financial sense each time you decide to do it.

    When I graduated college, I had some private loans to my name. Although I explored refinancing several times, I ultimately decided it never made financial sense. Still, it was nice to know I had the option - and since everyone’s situation is different, refinancing might just help save you money.

    Why would you want to refinance your student loans?

    Refinancing your student loans might sound confusing, but it's a helpful financial move when done right. Whether you want a lower interest rate or to combine multiple payments/loans into one monthly payment, refinancing has its benefits. Here are a few reasons why you might want to consider it:

    • You borrowed your loan when interest rates were high.
    • Your credit report shows a good score and stable income.
    • You plan to remove a co-signer from your loan.
    • You want to stretch your repayment term in order to lower your monthly payments.

    Are there downsides to frequent refinancing?

    Yes, there are a couple of factors to think about when considering multiple refinances. It's not without its potential downsides, so it's crucial to decide if the timing is right. Here's what you should keep an eye on:

    • Each refinancing application may have a temporary impact on your credit score.
    • Refinancing often involves fees, and these can add up with frequent refinancing.
    • Refinancing might extend the time it takes to pay off your loan, possibly increasing the overall cost.
    • Interest rates can fluctuate, and timing frequent refinancing to catch the best rates is challenging.
    • Frequent applications may increase the likelihood of being rejected for refinancing.

    Could it hurt your credit score?

    Exploring different lenders during pre-qualification is safe, but when you go through the actual application process, there might be a slight dip in your credit score.

    Every loan application involves a hard credit check, where they closely examine your credit history and how you handle repayments. Each of these checks could temporarily lower your credit score by a few points.

    Does it impact the age of your accounts?

    Refinancing results in a new loan, which can lower the average age of your accounts — a key factor in your credit score. If you consistently replace existing student loans with new ones, it can keep the average age of your credit accounts low.

    When is refinancing more than once a good idea?

    Even though there might be some potential issues, there are situations where refinancing more than once can benefit you. If your financial situation improves, and lenders are offering special deals, refinancing becomes an attractive option.

    Can get better terms?

    Every time you refinance, you get the chance to negotiate better terms for your loan. For people who have already started the refinancing process, the rules are pretty straightforward.

    You can secure a lower interest rate, pick better terms, and create a repayment plan that matches your financial goals – all of which can make paying off your debt easier.

    Are there any promotional offers?

    Sometimes, companies offer good deals to convince you to refinance your loans with them. If your current loan experience isn't great or you want a new loan servicer, a great interest rate might be a reason to switch.

    But be careful if you have federal student loans. If your monthly payments aren’t manageable, there are options like hardship relief or loan forgiveness that private lenders might not have. By refinancing a federal loan into a private loan, you may gain better financial terms, but lose out on other perks of federal loans. If you have private loans and a good credit score, refinancing could be smart, especially if you have high interest rates or many loans.

    It might seem a lot to understand, but TuitionHero is here to help. We explain things like Private Student Loans and Student Loan Refinancing, making tricky topics easier for you.

    Do’s and don’ts of refinancing student loans

    Refinancing student loans can be a good move if done right. But without the right approach, it might lead you into financial troubles. By knowing what to do and what to avoid, you can make your loan refinancing process easier.


    • Do research and shop around for better loan terms

    • Do consider refinancing if you have private student loans and a strong credit score

    • Do explore promotional offers from lenders


    • Don't overlook the impact on your credit score

    • Don't rush to refinance federal student loans without considering relief options

    • Don't refinance without considering the potential decline in average age of accounts

    Advantages and disadvantages of refinancing student loans

    Refinancing student loans comes with its own set of pros and cons. A good understanding of these can help you make an informed financial decision.

    Advantages of refinancing student loans

    • You can get a lower interest rate, saving money in the long run.
    • It gives you an opportunity to release a co-signer from your loan.
    • You can consolidate several loans into one, making management easier.
    • You can change your loan terms according to your repayment goals and financial situation.

    Disadvantages of refinancing student loans

    • Each time you refinance, your credit score may dip temporarily due to hard credit checks.
    • Refinancing may shorten the average age of your accounts, which could negatively impact your credit score.
    • If you refinance federal loans with a private lender, you’ll lose federal benefits such as loan forgiveness, income-driven repayment plans, and guaranteed deferment or forbearance.
    • If you extend the loan term for lower monthly payments, you might end up paying more interest over the life of the loan.

    How TuitionHero can help you

    At TuitionHero, we understand the ups and downs of refinancing student loans. We have services just for that, making the financial journey easier for you. Whether you're figuring out refinancing or dealing with credit checks, we've got your back.

    Need help with Private Student Loans or FAFSA? Our services break down the big task of paying for college into smaller steps. We're good at Credit Card Offers and Scholarships too, making sure you stay afloat in the world of college finance. Connect with us, and let TuitionHero help you plan for your education!

    Frequently asked questions (FAQ)

    When you apply for refinancing, lenders will look at your credit score, income, job stability, debt-to-income ratio (your total monthly debt payments compared to your total monthly income), and college degree. The better these factors, the more likely you are to get approved and secure a lower interest rate.

    If you refinance federal student loans into a private loan, you give up your federal benefits. This includes programs for loan forgiveness, income-driven repayment options, and the ability to defer or forbear payments during financial hardship. Make sure to think about these factors before deciding to refinance.

    The refinancing process usually doesn't have direct charges. However, consider the long-term costs. Choosing a lower monthly payment by extending the loan term might mean paying more interest over the loan's life. But don't worry, TuitionHero can help you understand these details.

    Yes, you can refinance any number of your loans or all of them. It all depends on your financial situation. For example, you might decide to refinance a high-interest private loan while keeping your federal loans for their benefits.

    Final thoughts

    The process of refinancing student loans has many important steps, and each one needs careful thought. Understanding your financial situation is crucial for making informed decisions. Just take it one step at a time. With careful and thoughtful actions, refinancing can be a valuable tool in managing your finances. Don't hesitate to use resources like TuitionHero for the help and guidance you need to successfully plan for your future.



    Brian Flaherty avatar

    Brian is a graduate of the University of Virginia where he earned a B.A. in Economics. After graduation, Brian spent four years working working at a wealth management firm advising high-net-worth investors and institutions. During his time there, he passed the rigorous Series 65 exam and rose to a high-level strategy position.


    Rachel Lauren avatar

    Rachel Lauren is the co-founder and COO of Debbie, a tech startup that offers an app to help people pay off their credit card debt for good through rewards and behavioral psychology. She was previously a venture capital investor at BDMI, as well as an equity research analyst at Credit Suisse.

    At TuitionHero, we're not just passionate about our work - we take immense pride in it. Our dedicated team of writers diligently follows strict editorial standards, ensuring that every piece of content we publish is accurate, current, and highly valuable. We don't just strive for quality; we aim for excellence.

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