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Loan Repayment Options

Check your federal student loan information and balance at www.NSLDS.ed.gov. You will need to make sure your FSA ID is set up to access your account. There are multiple repayment plans available. You can change your repayment plan at any time by contacting your loan servicer. Parent Direct PLUS Loan borrowers may only choose from the standard, extended, or graduated options, but graduate student Direct PLUS Loan borrowers may also choose the income contingent repayment plan or the income-based repayment plan.

  • Repayment Plans

    Overview of Direct Loan and FFEL Program Repayment Plans

    Repayment Plan

    Eligible Loans

    Monthly Payment and Time Frame

    Eligibility and Other Information

    Standard Repayment Plan

     

    • Direct Subsidized and Unsubsidized Loans
    • Subsidized and Unsubsidized Federal Stafford Loans
    • all PLUS loans
    • all Consolidation Loans (Direct or FFEL)

    Payments are a fixed amount.

    Up to 10 years (up to 30 years for Consolidation Loans).

     

    All borrowers are eligible for this plan.

    You’ll pay less over time than under other plans.

    Graduated Repayment Plan

     

    • Direct Subsidized and Unsubsidized Loans
    • Subsidized and Unsubsidized Federal Stafford Loans
    • all PLUS loans
    • all Consolidation Loans (Direct or FFEL)

    Payments are lower at first and then increase, usually every two years.

    Up to 10 years (up to 30 years for Consolidation Loans).

    All borrowers are eligible for this plan.

    You’ll pay more over time than under the 10-year Standard Plan.

    Extended Repayment Plan

     

    • Direct Subsidized and Unsubsidized Loans
    • Subsidized and Unsubsidized Federal Stafford Loans
    • all PLUS loans
    • all Consolidation Loans (Direct or FFEL)

    Payments may be fixed or graduated.

    Up to 25 years.

     

    • If you're a Direct Loan borrower, you must have more than $30,000 in outstanding Direct Loans.
    • If you're a FFEL borrower, you must have more than $30,000 in outstanding FFEL Program loans.
    • Your monthly payments will be lower than under the 10-year Standard Plan or the Graduated Repayment Plan.
    • You’ll pay more over time than under the 10-year Standard Plan.

    Revised Pay As You Earn Repayment  Plan (REPAYE)

    • Direct Subsidized and Unsubsidized Loans
    • Direct PLUS loans made to students
    • Direct Consolidation Loans that do not include PLUS loans (Direct or FFEL) made to parents
    • Your monthly payments will be 10 percent of discretionary income.
    • Payments are recalculated each year and are based on your updated income and family size.
    • If you're married, both your and your spouse’s income or loan debt will be considered, whether taxes are filed jointly or separately (with limited exceptions).
    • Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years.
    • Any Direct Loan borrower with an eligible loan type may choose this plan.
    • Your monthly payment can be more than the 10-year Standard Plan amount.
    • You may have to pay income tax on any amount that is forgiven.
    • Good option for those seeking Public Service Loan Forgiveness (PSLF).

    Pay As You Earn Repayment Plan (PAYE)

    • Direct Subsidized and Unsubsidized Loans
    • Direct PLUS loans made to students
    • Direct Consolidation Loans that do not include (Direct or FFEL) PLUS loans made to parents
    • Your maximum monthly payments will be 10 percent of discretionary income.
    • Payments are recalculated each year and are based on your updated income and family size.
    • If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return.
    • Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 years.

     

    • You must be a new borrower on or after Oct. 1, 2007, and must have received a disbursement of a Direct Loan on or after Oct. 1, 2011.
    • You must have a high debt relative to your income.
    • Your monthly payment will never be more than the 10-year Standard Plan amount.
    • You’ll pay more over time than under the 10-year Standard Plan.
    • You may have to pay income tax on any amount that is forgiven.
    • Good option for those seeking Public Service Loan Forgiveness (PSLF).

    Income-Based Repayment Plan (IBR)

     

    • Direct Subsidized and Unsubsidized Loans
    • Subsidized and Unsubsidized Federal Stafford Loans
    • all PLUS loans made to students
    • Consolidation Loans  (Direct or FFEL) that do not include  Direct or FFEL PLUS loans made to parents
    • Your monthly payments will be 10 or 15 percent of discretionary income.
    • Payments are recalculated each year and are based on your updated income and family size.
    • If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return.
    • Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years.
    • You may have to pay income tax on any amount that is forgiven.
    • You must have a high debt relative to your income.
    • Your monthly payment will never be more than the 10-year Standard Plan amount.
    • You’ll pay more over time than under the 10-year Standard Plan.
    • Good option for those seeking Public Service Loan Forgiveness (PSLF).

    Income-Contingent Repayment Plan (ICR)

    • Direct Subsidized and Unsubsidized Loans
    • Direct PLUS Loans made to students
    • Direct Consolidation Loans
    • Your monthly payment will be the lesser of
      •  20 percent of discretionary income, or
      • the amount you would pay on a repayment plan with a fixed payment over 12 years, adjusted according to your income.
    • Payments are recalculated each year and are based on your updated income, family size, and the total amount of your Direct Loans.
    • If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return or you choose to repay your Direct Loans jointly with your spouse.
    • Any outstanding balance will be forgiven if you haven't repaid your loan in full after 25 years.
    • Any Direct Loan borrower with an eligible loan type may choose this plan.
    • Your monthly payment can be more than the 10-year Standard Plan amount.
    • You may have to pay income tax on the amount that is forgiven.
    • Good option for those seeking Public Service Loan Forgiveness (PSLF).
    • Parent borrowers can access this plan by consolidating their Parent PLUS Loans into a Direct Consolidation Loan.

     

    Income-Sensitive Repayment Plan

    • Subsidized and Unsubsidized Federal Stafford Loans
    • FFEL PLUS Loans
    • FFEL Consolidation Loans

    Your monthly payment is based on annual income.

    Up to 15 years.

    • You’ll pay more over time than under the 10-year Standard Plan.
    • The formula for determining the monthly payment amount can vary from lender to lender.

    See loan forgiveness for current interest rates on Federal student loans.

    View examples of what payment amount you can expect from the various payment plan options.

  • Partial Financial Hardship

    Income Based Repayment Plan
    A partial financial hardship is a circumstance in which the annual amount due on your eligible loans, as calculated under a 10 year Standard Repayment Plan, exceeds 15 percent of the difference between your adjusted gross income (AGI) and 150 percent of the poverty line for your family size in the state where you live.

    Pay As You Earn Repayment Plan
    A partial financial hardship is a circumstance in which the annual amount due on your eligible loans, as calculated under a 10 year Standard Repayment Plan, exceeds 10 percent of the difference between your adjusted gross income (AGI) and 150 percent of the poverty line for your family size in the state where you live.

  • Loan Forgiveness

    Teacher Loan Forgiveness
    Available to borrowers who become full time teachers in a low income elementary or secondary school for five consecutive years. Up to $17,500 of subsidized and unsubsidized Direct or FEEL program loans can be forgiven. PLUS loans are not eligible.

    Public Service Loan Forgiveness
    Borrowers who are employed full time in certain public service jobs and have made 120 payments toward Direct loans may have the remaining balance they owe forgiven. Only payments made under certain repayment plans may be counted toward the required 120 payments. You must not be in default on the loans that are forgiven. Click here to learn more about Forgiveness, Cancellation, and Discharge on the Federal Student Aid Website.

    Loan Type Interest Rates for Loans Disbursed
    (Between July 1, 2016 and June 20, 2017)
    Direct Subsidized Loans 3.76%

    Direct Unsubsidized Loans

    Undergraduate students: 3.76%
    Graduate students: 5.31%
    Direct PLUS Loans 6.31%
    Federal Perkins Loans 5.0%
    Private Loans Interest rates vary