Loan Repayment Options

The COVID-19 emergency relief for federal student loans ends Jan. 31, 2022. Click here to learn how to prepare for loan payments to begin again. You can also find information about COVID-19 relief, impacts, and resources.

You may check the information and balance regarding your federal student loans at studentaid.gov. You will need to make sure your FSA ID (Federal Student Aid ID) is set up to access your account. You’ve used your FSA ID to complete the FAFSA and the Master Promissory Note (for the loan). The standard repayment plan is set for 10 years; however, there are multiple repayment plans available. You can change your repayment plan at any time by contacting your loan servicer. Parent PLUS loan borrowers may only choose from the standard, extended, or graduated options. It is very important that you protect your credit score and choose a repayment plan that will allow you to make timely payments on your student loans. The chart below details each repayment option available to student loan borrowers.

Direct Student Loan Repayment Loans

Repayment Plan	Eligible Loans	Monthly Payment and Time Frame	Eligibility and Other Information
Standard Repayment Plan	o Direct Subsidized and Unsubsidized Loans o Subsidized and Unsubsidized Federal Stafford Loans o all PLUS loans o 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	o Direct Subsidized and Unsubsidized Loans o Subsidized and Unsubsidized Federal Stafford Loans o all PLUS loans o 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	o Direct Subsidized and Unsubsidized Loans o Subsidized and Unsubsidized Federal Stafford Loans o all PLUS loans o all Consolidation Loans (Direct or FFEL)	Payments may be fixed or graduated. Up to 25 years.	o If you're a Direct Loan borrower, you must have more than $30,000 in outstanding Direct Loans. o If you're a FFEL borrower, you must have more than $30,000 in outstanding FFEL Program loans. o Your monthly payments will be lower than under the 10-year Standard Plan or the Graduated Repayment Plan. o You’ll pay more over time than under the 10-year Standard Plan.
Revised Pay As You Earn Repayment Plan (REPAYE)	o Direct Subsidized and Unsubsidized Loans o Direct PLUS loans made to students o Direct Consolidation Loans that do not include PLUS loans (Direct or FFEL) made to parents	o Your monthly payments will be 10 percent of discretionary income. o Payments are recalculated each year and are based on your updated income and family size. o 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). o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years.	o Any Direct Loan borrower with an eligible loan type may choose this plan. o Your monthly payment can be more than the 10-year Standard Plan amount. o You may have to pay income tax on any amount that is forgiven. o Good option for those seeking Public Service Loan Forgiveness (PSLF).
Pay As You Earn Repayment Plan (PAYE)	o Direct Subsidized and Unsubsidized Loans o Direct PLUS loans made to students o Direct Consolidation Loans that do not include (Direct or FFEL) PLUS loans made to parents	o Your maximum monthly payments will be 10 percent of discretionary income. o Payments are recalculated each year and are based on your updated income and family size. o If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return. o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 years.	o 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. o You must have a high debt relative to your income. o Your monthly payment will never be more than the 10-year Standard Plan amount. o You’ll pay more over time than under the 10-year Standard Plan. o You may have to pay income tax on any amount that is forgiven. o Good option for those seeking Public Service Loan Forgiveness (PSLF).
Income-Based Repayment Plan (IBR)	o Direct Subsidized and Unsubsidized Loans o Subsidized and Unsubsidized Federal Stafford Loans o all PLUS loans made to students o Consolidation Loans (Direct or FFEL) that do not include Direct or FFEL PLUS loans made to parents	o Your monthly payments will be 10 or 15 percent of discretionary income. o Payments are recalculated each year and are based on your updated income and family size. o If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return. o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years. o You may have to pay income tax on any amount that is forgiven.	o You must have a high debt relative to your income. o Your monthly payment will never be more than the 10-year Standard Plan amount. o You’ll pay more over time than under the 10-year Standard Plan. o Good option for those seeking Public Service Loan Forgiveness (PSLF).
Income-Contingent Repayment Plan (ICR)	o Direct Subsidized and Unsubsidized Loans o Direct PLUS Loans made to students o Direct Consolidation Loans	o Your monthly payment will be the lesser of o 20 percent of discretionary income, or o the amount you would pay on a repayment plan with a fixed payment over 12 years, adjusted according to your income. o Payments are recalculated each year and are based on your updated income, family size, and the total amount of your Direct Loans. o 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. o Any outstanding balance will be forgiven if you haven't repaid your loan in full after 25 years.	o Any Direct Loan borrower with an eligible loan type may choose this plan. o Your monthly payment can be more than the 10-year Standard Plan amount. o You may have to pay income tax on the amount that is forgiven. o Good option for those seeking Public Service Loan Forgiveness (PSLF). o Parent borrowers can access this plan by consolidating their Parent PLUS Loans into a Direct Consolidation Loan.
Income-Sensitive Repayment Plan	o Subsidized and Unsubsidized Federal Stafford Loans o FFEL PLUS Loans o FFEL Consolidation Loans	Your monthly payment is based on annual income. Up to 15 years.	o You’ll pay more over time than under the 10-year Standard Plan. o The formula for determining the monthly payment amount can vary from lender to lender.

Repayment Plan

Eligible Loans

Monthly Payment and Time Frame

Eligibility and Other Information

Standard Repayment Plan

o Direct Subsidized and Unsubsidized Loans

o Subsidized and Unsubsidized Federal Stafford Loans

o all PLUS loans

o 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

o Direct Subsidized and Unsubsidized Loans

o Subsidized and Unsubsidized Federal Stafford Loans

o all PLUS loans

o 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

o Direct Subsidized and Unsubsidized Loans

o Subsidized and Unsubsidized Federal Stafford Loans

o all PLUS loans

o all Consolidation Loans (Direct or FFEL)

Payments may be fixed or graduated.

Up to 25 years.

o If you're a Direct Loan borrower, you must have more than $30,000 in outstanding Direct Loans.

o If you're a FFEL borrower, you must have more than $30,000 in outstanding FFEL Program loans.

o Your monthly payments will be lower than under the 10-year Standard Plan or the Graduated Repayment Plan.

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

Revised Pay As You Earn Repayment Plan (REPAYE)

o Direct Subsidized and Unsubsidized Loans

o Direct PLUS loans made to students

o Direct Consolidation Loans that do not include PLUS loans (Direct or FFEL) made to parents

o Your monthly payments will be 10 percent of discretionary income.

o Payments are recalculated each year and are based on your updated income and family size.

o 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).

o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years.

o Any Direct Loan borrower with an eligible loan type may choose this plan.

o Your monthly payment can be more than the 10-year Standard Plan amount.

o You may have to pay income tax on any amount that is forgiven.

o Good option for those seeking Public Service Loan Forgiveness (PSLF).

Pay As You Earn Repayment Plan (PAYE)

o Direct Subsidized and Unsubsidized Loans

o Direct PLUS loans made to students

o Direct Consolidation Loans that do not include (Direct or FFEL) PLUS loans made to parents

o Your maximum monthly payments will be 10 percent of discretionary income.

o Payments are recalculated each year and are based on your updated income and family size.

o If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return.

o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 years.

o 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.

o You must have a high debt relative to your income.

o Your monthly payment will never be more than the 10-year Standard Plan amount.

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

o You may have to pay income tax on any amount that is forgiven.

o Good option for those seeking Public Service Loan Forgiveness (PSLF).

Income-Based Repayment Plan (IBR)

o Direct Subsidized and Unsubsidized Loans

o Subsidized and Unsubsidized Federal Stafford Loans

o all PLUS loans made to students

o Consolidation Loans (Direct or FFEL) that do not include Direct or FFEL PLUS loans made to parents

o Your monthly payments will be 10 or 15 percent of discretionary income.

o Payments are recalculated each year and are based on your updated income and family size.

o If you're married, your spouse's income or loan debt will be considered only if you file a joint tax return.

o Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 or 25 years.

o You may have to pay income tax on any amount that is forgiven.

o You must have a high debt relative to your income.

o Your monthly payment will never be more than the 10-year Standard Plan amount.

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

o Good option for those seeking Public Service Loan Forgiveness (PSLF).

Income-Contingent Repayment Plan (ICR)

o Direct Subsidized and Unsubsidized Loans

o Direct PLUS Loans made to students

o Direct Consolidation Loans

o Your monthly payment will be the lesser of

o 20 percent of discretionary income, or

o the amount you would pay on a repayment plan with a fixed payment over 12 years, adjusted according to your income.

o Payments are recalculated each year and are based on your updated income, family size, and the total amount of your Direct Loans.

o 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.

o Any outstanding balance will be forgiven if you haven't repaid your loan in full after 25 years.

o Any Direct Loan borrower with an eligible loan type may choose this plan.

o Your monthly payment can be more than the 10-year Standard Plan amount.

o You may have to pay income tax on the amount that is forgiven.

o Good option for those seeking Public Service Loan Forgiveness (PSLF).

o Parent borrowers can access this plan by consolidating their Parent PLUS Loans into a Direct Consolidation Loan.

Income-Sensitive Repayment Plan

o Subsidized and Unsubsidized Federal Stafford Loans

o FFEL PLUS Loans

o FFEL Consolidation Loans

Your monthly payment is based on annual income.

Up to 15 years.

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

o The formula for determining the monthly payment amount can vary from lender to lender.

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College Ready and Career Ready

Get the Most Out of Your Time at TCTC

Loan Repayment Options

Contact Us

College Ready and Career Ready

Get the Most Out of Your Time at TCTC

College Ready and Career Ready

Get the Most Out of Your Time at TCTC

Loan Repayment Options

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