Repaying Student Loans 101

Repaying student loans is not a complicated process, but it doesn't hurt to know the exact steps to take so you are sure to do it correctly. From start to finish, here is what you need to know to repay your Discover® Student Loans in four simple steps:

1. Find out when you need to start making payments.
2. Determine how much you owe and what your monthly payments will be.
3. Choose a payment method (online, automatic, by phone or by mail).
4. Make your monthly payments on time.

Step 1: Find Out When Your Payments Begin

Most Discover student loans provide you with a grace period—a period of time when you are not required to make monthly payments. Depending on your loan type, payments may not be due until 6 or 9 months after you graduate or when your enrollment status drops below half-time.

For borrowers who elected during the application process to make either interest-only or $25 fixed, monthly payments, payments are still required during the grace period. Your first required in-school payment will be due the month following your first disbursement. You will receive a notice with the payment due date.

The chart below provides information about grace and repayment periods so you can project when your first payment begins and how long you will be making payments. For your specific dates, call us or check your account online.

If you have more than one loan type, we may align your repayment start date and your repayment period so that all of your Discover student loans are on the same repayment schedule.

Step 2: Identify Your Monthly Payment Amount

To determine how much you owe, you can check your loan balance online or call us. We will calculate your payments so you can pay off your loan in equal installments every month. Payments will be applied toward interest and the principal balance for the duration of your repayment period. If you have a variable interest rate, your payments may rise or fall if there is a change in the index.

If your goal is to repay your loan sooner than scheduled, you can always pay more than the minimum amount due—without penalties—in order to further reduce your balance and overall interest cost.

Step 3: Select a Payment Method

We offer a variety of ways for you to submit your monthly student loan payments from choosing to pay online to setting up automatic payments, so you can choose the payment method that is most convenient for you.

Electronic Bank Payments

If you prefer to use one financial institution to pay all of your bills, then you can add your student loan to the mix. By using your bank's online payment service, you can pay your student loan and control when the payment is made. When entering the payee online, use the mailing address for checks.

Step 4: Make Your Payments on Time

Making on-time payments is very important in building and maintaining your credit profile. If you are having difficulties repaying or are unable to make payments, we have options to help. To learn more and determine if you qualify, please call our Repayment Assistance Department at 1-800-STUDENT.