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Do student loans affect my taxes?

There may be a tax deduction available for the interest you paid on qualifying student loans. Check with your loan servicer to see if your loan meets the qualifications.

At the end of each year, your servicer will send you Form 1098-E by mail or electronically. This form details how much interest you have paid on your student loan during the year. You can deduct up to $2,500 in annual interest on your tax return, subject to income limitations and other restrictions. Consult the IRS website or a tax professional for details.