The Consumer Financial Protection Bureau (CFPB) has announced that it will allow borrowers to refinance student loans for up to $500,000.
The move is designed to help students and their families pay down their student loans in a cost-effective way.
The CFPB also says that the $500 limit will be raised to $1 million for the second year of the program.
The bureau says that it plans to start offering refinancing options by the middle of 2018.
The agency has already announced that refinancing plans will be available for $100,000, $250,000 and $500 of debt, which is more than double the amount currently offered.
The CFPBA says that borrowers will be able to refloat at any time during their loan term.
It also said that they will not be required to pay interest on their loan.
The agency says that there are three main refinancing scenarios that borrowers can choose from: 1) A 10% down payment, 2) a 30% down, or 3) a 40% down.
The option of refinancing the first two or the third is available for students who earn more than $75,000 in income for the year.
The fee for refinancing will be $750.
If you would like to refit your student loans, the CFPBC has set up a website for you to do so.
You can refinance your federal student loans at no cost to you.
The process takes about a week, and it is not a traditional refinancing.