Finding student loan relief options doesn’t always mean reducing or eliminating your debts. Sometimes, the solution is as simple as changing the way you pay. Your repayment plan is not set in stone. In fact, many loan servicers allow you to change your repayment plan as often as you need so you can continue making your payments without issue.
An income-driven repayment (IDR) plan helps you lower your monthly payments and manage your money more easily. It isn’t exactly student loan forgiveness, but you may be able to have your loan balance reduced or eliminated after making a certain number of payments. Learn more about IDR plans and see if they might be right for you.
Finding student loan relief options doesn’t always mean reducing or eliminating your debts. Sometimes, the solution is as simple as changing the way you pay. Your repayment plan is not set in stone. In fact, many loan servicers allow you to change your repayment plan as often as you need so you can continue making your payments without issue.
An income-driven repayment (IDR) plan helps you lower your monthly payments and manage your money more easily. It isn’t exactly student loan forgiveness, but you may be able to have your loan balance reduced or eliminated after making a certain number of payments. Learn more about IDR plans and see if they might be right for you.
Monthly debts can really add up, especially if your student loan payments are some of your highest bills. If you are looking for student loan relief options, don’t overlook your repayment plan.
Switching to an income-driven repayment (IDR) plan can help you manage your debts by lowering your monthly student loan payments. With this type of student loan relief plan, the amount you are required to pay each month is based on your income and family size.
Generally, your student loan payments under an IDR plan are 15% (or 10% if you are a new borrower) of your income, divided by 12.
*A new borrower is someone who had no outstanding balance on a federal loan before taking out a Direct loan.
IDR plans also change the repayment term (the period of time during which you will be making payments). The terms are:
- 20 years if you are a new borrower
- 25 years if you are not a new borrower
The IDR plan turns into a student loan forgiveness option after several years. This is because upon reaching the end of your repayment period, any remaining loan balance is forgiven.
By Admin –
