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Active Military
Corporation for National and Community Service
Department of Defense
Hardship
Internship/Residency
Reduced Payment
Student Loan Debt Burden
Teacher Loan Forgiveness
To find out more information about these deferment and forbearance
programs, visit ed.gov or studentloans.gov.
Payment Plans
Like other creditors, the federal government or your student loan servicer
would prefer to get some payment in rather than no payment at all! They
will work with you to select a repayment plan that meets your needs.
Examples of repayment plans include:
Standard Repayment Plan:
Spreads out the payments equally over 10
years. Unless you change your payment option, you will be enrolled in
a standard plan.
Graduated Repayment:
This plan takes assumes that you will make
more money over the life of your career, so your payments start low
and increase every two years. Keep in mind that you will pay more
interest with this plan than with the standard plan.
Extended Payment:
If you have over $430,000 in federal student loans,
you may qualify for the extended plan that allows you to pay of your
loan over 25 years instead of 10 years.
Income Sensitive Repayment Plan:
The payments on this loan are
adjusted annually, based on your monthly gross income. You may
choose this plan for up to five years, after which, your account will
revert to either the Standard or Graduated Repayment Plan
Managing your debt is essential. There are options to help you remain in
good standing and maintain your good credit if you do a little homework.
Communication is the key.
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Section 8 – Responsible Borrowing and Budgeting