Weighted Average Student Loan Calculator

Estimate your consolidation rate before you submit the federal application and see how rounding affects your total interest.

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Enter loans to find your consolidation rate

Federal Direct Consolidation Loans combine balances using a weighted average interest rate, rounded up to the nearest one-eighth of a percent. Enter each loan you plan to consolidate to see the final rate before you file paperwork.

Loan nameBalanceInterest rateWeighted amount
$
%
$407.70
$
%
$680.40
$
%
$1,507.20
Totals$46,500.00$2,595.30

Weighted average (before rounding)

5.581%

Sum of balance × rate ÷ total balance.

Consolidation rate (rounded up)

5.625%

Rounded to the nearest 1/8th of a percent (always up).

Annual interest before consolidation

$2,595.30

Sum of each loan's balance × rate.

Annual interest after consolidation

$2,615.63

Total balance × rounded consolidation rate.

Rounding impact

$20.32

The 1/8th rounding rule adds this amount in interest per year compared with leaving the rate unrounded.

Simple average rate

5.283%

A simple average ignores balances. This number is useful only as a sanity check; the federal program does not use it.

Total consolidated balance

$46,500.00

This becomes your new principal if you consolidate all listed loans together.

When consolidation helps

  • • Unlock income-driven repayment for FFEL or Parent PLUS loans (after consolidation).
  • • Qualify for Public Service Loan Forgiveness by converting FFEL loans to Direct Loans.
  • • Simplify tracking by replacing multiple servicers with a single monthly payment.

What to watch out for

  • • Consolidation resets qualifying payment counts for IDR forgiveness and PSLF.
  • • Rounding up increases lifetime interest compared with keeping loans separate.
  • • Parent PLUS loans restrict you to the Income-Contingent Repayment plan after consolidating.

Frequently Asked Questions

Common questions about the Weighted Average Student Loan Calculator

Multiply each loan balance by its interest rate, add those products together, then divide by the total balance. Federal consolidation then rounds that result UP to the nearest 1/8th of a percent (0.125%).

🎓 Student Loan Data Sources

Federal Student Loan Interest Rates (2024-2025):

• Undergraduate Direct Loans: 6.53%
• Graduate Direct Unsubsidized: 8.08%
• Direct PLUS Loans: 9.08%
→ Source: Federal Student Aid - Interest Rates

Income-Driven Repayment Plans:

SAVE Plan: 5% of discretionary income (undergraduate), 10% (graduate), 0% below 225% FPL
PAYE Plan: 10% of discretionary income, capped at 10-year standard
IBR Plan: 10-15% of discretionary income based on loan date
ICR Plan: Lesser of 20% discretionary income or fixed 12-year payment
→ Source: Federal Student Aid - Income-Driven Repayment Plans

Public Service Loan Forgiveness (PSLF):

• Requires 120 qualifying monthly payments (10 years)
• Must work full-time for qualifying employer (government/non-profit)
• Remaining balance forgiven tax-free after 120 payments
→ Source: Federal Student Aid - PSLF Program

Average Student Loan Debt (Class of 2023):

• Bachelor's degree borrowers: $28,950 average debt
• Total outstanding student loan debt (U.S.): $1.75 trillion
• Average monthly payment: $200-$299 for most borrowers
→ Source: Education Data Initiative - Student Loan Debt Statistics

Refinancing Rates (2025):

• Private refinancing rates: 4.5% - 9.5% (varies by credit, term)
• Note: Refinancing federal loans means losing federal protections (IDR, PSLF, forbearance)
→ Source: CFPB - Student Loan Refinancing

Important: Student loan rules change frequently. Always verify current program requirements at StudentAid.gov before making decisions.

⚠️ Important Disclaimer

This Weighted Average Student Loan Calculator provides estimates for educational and informational purposes only. Actual results may vary significantly based on individual circumstances, market conditions, regulatory changes, and other factors beyond the scope of this calculator.

The calculations and projections provided are based on assumptions and historical data that may not reflect future performance.Past performance does not guarantee future results.

This tool is not financial advice, tax advice, legal advice, or investment advice. For personalized guidance tailored to your specific situation, please consult with qualified professionals including:

  • Certified Financial Planner (CFP)
  • Certified Public Accountant (CPA) for tax matters
  • Licensed attorney for legal matters
  • Registered Investment Advisor (RIA) for investment decisions

Data Accuracy: All data sources, statistics, and rates were verified as accurate as of October 2025. Tax rates, market conditions, and other financial data change over time. Always verify current rates and consult official sources.

No Warranties: While we strive for accuracy, we make no warranties or guarantees regarding the accuracy, completeness, or reliability of any information provided. Use this tool at your own risk.