How to Get Out of Student Loan Debt ASAP

Paying off student loans doesn’t need to take decades. You can accelerate repayment and regain financial freedom with focused strategies and a solid plan. This guide provides actionable tips—from quick wins like refinancing or forgiveness programs to aggressive methods, such as the debt avalanche—tailored to help you eliminate your debt faster. 

Whether it’s adjusting your budget, leveraging extra income, or pursuing employer benefits, you’ll find practical steps to lighten the load and get out of student debt ASAP.

Table of Contents

1. Understand your student loan debt
2. Quick-win strategies to get out of debt
3. Aggressive repayment strategies 
4. Find extra money for payments 
5. Advanced strategies 
6. Student loan debt action plan

Understand your student loan debt

Before exploring strategies to pay off your student loans quickly, you must take a few important steps to better understand your debt. 

You first need to know where you’re starting from. Do this by taking an inventory of all your student loans. Determine whether your loans are federal, private, or both. Then gather details on each loan, including:

• Loan servicer information
• Current balance
• Monthly payment
• Interest rate
• Repayment terms
• Due dates

Now, examine your monthly payment. Determine how much is going toward the original loan amount (the principal) vs. interest. You’ll typically pay more toward interest early in the payoff process, which is why it takes so long to pay down the principal. 

It also wouldn’t hurt to figure out how much interest will accumulate over the life of the loan if you only make minimum payments. An online student loan calculator makes this easy. Learning just how expensive your loans are can encourage you to pay them off sooner.

Quick-win strategies to get out of student loan debt

Paying off your student loans can seem like a marathon. You can use a few strategies to achieve quick wins and start progressing toward your goal. 

Refinance

If you’re having trouble juggling multiple student loan payments or are paying a high interest rate, refinancing your student loans can help you manage by consolidating multiple payments.  

Refinancing your loans is also beneficial if you can secure a lower interest rate because you’ll pay less over the life of the loan. But remember that to qualify for the best rates, you’ll need to meet the credit score and income requirements the lender sets. 

You can refinance private student loans easily—and if you’re eligible for a lower rate or better loan terms, it often makes sense. But we don’t always recommend refinancing federal student loans. A Federal Direct Consolidation Loan could be the better option because it allows you to qualify for income-driven repayment plans, work toward loan forgiveness, and keep other federal benefits.

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Income-driven repayment plans

Switching your federal student loans to an income-driven repayment plan is another strategy to help pay off your loans faster. While the IDR payment plan won’t speed up repayment, it could help alleviate financial strain and give you more time to devise a plan to eliminate loans. 

Plus, a lower monthly payment could free up more cash in your budget, creating extra money to make an additional student loan payment every month or pay off debts at a higher interest rate. 

Loan forgiveness programs

Student loan forgiveness—for example, Public Service Loan Forgiveness—could be a quick win if you’ve been paying on your student loans for years, are employed by the government, or work as a teacher. 

As a highly qualified teacher in an underserved community, you could have up to $17,500 forgiven after five years. If you’ve been on an income-driven repayment plan since graduation, you could have the remaining balance forgiven after 20 to 25 years of qualifying payments. 

The specific terms vary depending on the program and when you took out the loan, so it’s wise to research the various student loan forgiveness programs to determine if you qualify. 

Aggressive repayment strategies 

Several strategies can help you pay off your student loans more aggressively. Let’s look closer to find out which will work best for you. 

Debt avalanche

With the debt avalanche method, you focus repayment efforts on loans with the highest interest rates. This approach is best for those who want to reduce the overall cost of borrowing because it cuts back on interest paid over the life of the loan. 

Debt snowball

If you need quick wins to keep your repayment plan on track, the debt snowball method may be a good fit. With this strategy, you list your loans in order of size and start paying them, starting with the smallest loan. Seeing your debt disappear a bit at a time provides motivation to keep going. 

Biweekly payments

You can also pay down your student loans faster by by making biweekly payments—each of half your monthly payment amount—instead of the standard monthly payment. By switching to biweekly payments, you’ll make 26 payments per year, which equals 13 full monthly payments—effectively adding an extra payment yearly.

This works well if you’re paid every other week; you can simply schedule your biweekly student loan payments to come out after you receive your paycheck.  

When creating a student loan repayment action plan, consider your income, the minimum payments on all of your other debts, and your living expenses. It’s a balancing act because each person is unique in how much they are willing to sacrifice with their discretionary spending, which will affect their lifestyle. Some people are willing to eat ramen every night. For others, it is still important to take an annual family vacation.

Crystal Rau, CFP®

Find extra money for payments 

Earning and saving more money makes it easier to pay off your student loans faster. Here are a few ways you can find extra money for payments.  

Optimize your budget

If you don’t already have a budget, it’s important to make one. Take an honest look at how much money you spend each month and separate your expenses by essential needs versus non-essential wants.

Follow the 50/30/20 budgeting rule: Aim to spend 50% of your income on essential expenses, 30% on non-essential expenses, and 20% on financial goals. Identify non-essential expenses you can reduce, and redirect that money toward student loans. 

Budgeting apps help with this; they allow you to monitor your spending and help you budget for student loan repayment. You can also use them to set student loan repayment goals and track your progress to keep you motivated. 

Consider a side gig

If a fast student loan repayment plan doesn’t fit in your budget, consider getting a side gig. This will provide you with extra cash to apply toward your student loan balance. 

Lifestyle adjustments

Making a few tweaks to your lifestyle can also help free up money to reduce student loan debt. A few lifestyle changes you might consider include:

• Limiting travel
• Cooking at home
• Delaying large purchases
• Buying items secondhand
• Using public transportation
• Reducing streaming subscriptions

These temporary sacrifices can make space in your budget to pay more toward your student loans. 

You must look at what will work and fit it into an attainable budget so you can put a plan in place that you’ll stick to. It’s more about being honest with yourself about how long repayment will take and whether you’re OK with that (and the additional interest that comes along with a longer timeline).

Crystal Rau, CFP®

Advanced strategies 

If you’re willing to put in a little more time and effort to pay off your student loan debt ASAP, you could pursue advanced strategies, such as tax deductions, employer benefits, and strategic career moves. 

Tax deduction benefits

If you’re repaying your student loans, you may qualify for the student loan interest tax deduction. This allows you to take the amount you paid in student loan interest for the year—up to $2,500—and deduct it from your taxable income, which reduces the overall amount you pay in taxes. 

Employer benefits

Some companies help employees pay off their student loans. Companies adopt student loan repayment benefits to make the job offer more appealing and attract better-qualified candidates who are repaying their educational debts. 

Strategic career moves

Being purposeful about your career advancement can also help you repay student loans faster. Instead of staying in a job because it’s comfortable, look for opportunities to move up the ladder and make more money. This will give you more income to put toward student loan repayment.

When looking for new positions, consider companies that offer signing bonuses. The extra cash you earn at sign-on could be applied to your student loans’ principal balance.  

Student loan debt action plan

Knowing where to start with student loan repayment can be hard, but having a clear plan can help you focus and stay on track. Here’s how to break it down into manageable steps.

Immediate first steps (first 30 days)

In the first 30 days, focus on laying the groundwork for repaying your student loan debt by:

• Gathering loan information: Identify all your loans and make note of their balances, interest rates, repayment terms, and loan servicers.
• Setting up loan servicer accounts: If you haven’t already done so, set up accounts with all your federal and private loan servicers.
• Choosing a repayment plan: For federal loans, evaluate your repayment plan options and determine which one best matches your financial goals. 
• Automating payments: Set up automatic payments to avoid late fees and possibly qualify for interest rate discounts.
• Assessing your budget: Analyze your income and expenses to determine how much extra you can pay for your student loans.
• Educating yourself: Research ways to eliminate student loan debt, including forgiveness programs, refinancing, and repayment strategies, such as debt avalanche or snowball methods.

Short-term goals (3 – 6 months)

Once you understand your loans, budget, and repayment options, it’s time to develop strategies to reduce your debt. Here’s how:

• Choose a debt repayment method: Decide between the debt avalanche (paying high-interest loans first) and debt snowball (paying off small balances first) methods and begin to implement it.
• Explore refinancing options: If you have good credit and steady income, consider refinancing private loans for a lower interest rate or consolidating multiple federal student loans into one.
• Cut costs: Identify areas in your budget to trim expenses and apply the money you saved toward student loans.
• Pursue side income: Start a side hustle or freelance work to increase your income and speed up repayment.
• Maximize payments: Use any windfalls (such as tax refunds or bonuses) to pay on your principal balance.
• Check forgiveness or repayment program eligibility: If you qualify for Public Service Loan Forgiveness (PSLF) or employer repayment benefits, make sure you meet the requirements and submit the necessary paperwork.

Long-term strategy (1+ years)

Short-term wins are just the beginning—now it’s time to focus on a strategy that carries you through the years ahead:

• Pursue career growth: Take strategic steps to increase your earning potential, such as promotions, advanced education, or certifications.
• Increase payments gradually: As your income grows, increase your monthly loan payments to pay down debt faster.
• Stay consistent: Remain focused on your goal, keep making payments, and track your progress using budgeting apps.
• Monitor and adjust: Regularly review your repayment plan to make sure it still aligns with your financial goals.
• Celebrate milestones: To help you stay motivated, acknowledge your progress toward paying off your loans, and celebrate every milestone.

FAQ

How long does it typically take to pay off student loans?

While the standard repayment period for federal loans is 10 years, aggressive repayment strategies can significantly reduce this timeline. Many borrowers who prioritize repayment and use the debt avalanche or make extra payments can pay off their loans in five to seven years. This ultimately depends on the loan amount and income.

Should I refinance my federal student loans?

Consider refinancing only if you have a stable, high income and don’t plan to use federal benefits, such as income-driven repayment or loan forgiveness programs. While refinancing can lower your interest rate and help you pay off debt faster, you’ll lose access to federal protections and forgiveness opportunities.

What’s the fastest way to pay off student loan debt?

The fastest approach combines refinancing to a lower interest rate (when appropriate) with aggressive repayment using the debt avalanche method, which targets the highest-interest loans first. Making biweekly instead of monthly payments and applying any extra money (bonuses, tax refunds, or side hustle income) to your loans can accelerate your payoff timeline.

How much of my income should go toward student loan payments?

Financial experts recommend keeping student loan payments to no more than 15% of your gross monthly income. If you’re paying more than this, consider income-driven repayment plans for federal loans or refinancing for private loans to reduce your monthly burden while you work on increasing your income.

What happens if I can’t afford my monthly payments?

For federal loans, immediately apply for an income-driven repayment plan to lower your monthly payments based on your income and family size. If you have private loans, contact your lender to discuss hardship options or consider refinancing for lower monthly payments. Don’t wait until you miss a payment to take action.