Why Do My Student Loans Keep Rising and What Can I Do?

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Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent, and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or network providers. Read more about our Editorial Guidelines and How We Make Money.
Understanding Why Student Loans Increase
Interest Accrual
Capitalization of Interest
After leaving a period of deferment on an unsubsidized loan After leaving the Income-Based Repayment plan, either voluntarily or because you no longer qualify for it When you consolidate federal student loans
Fees and Penalties
External Factors for Continuous Increases in Student Loans
Pausing Payments Through Deferment
Income-Driven Repayment Plans
Lengthy Repayment Terms and Extended Plans
Strategies to Address Rising Student Loan Balances
Take Control of Interest Accrual
Exploring Repayment Options and Loan Forgiveness Programs
Seeking Financial Counseling and Guidance
The Importance of Staying Proactive with Student Loans
The Takeaway
Frequently Asked Questions
Photo credit: iStock/anilakkus
LNTSLR-Q325-005
About the Author
Rebecca Safier has nearly a decade of experience writing about personal finance. Formerly a senior writer with LendingTree and Student Loan Hero, she specializes in student loans, financial aid, and personal loans. She is certified as a student loan counselor with the National Association of Certified Credit Counselors (NACCC).
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