Income-Driven Repayment (IDR) plans are a category of student loan repayment plans available to borrowers once they enter repayment. They differ from Fixed Payment plans—Standard, Graduated, and Extended—which have predetermined payment amounts that the borrower cannot change.
If you get emails or calls with such offers, the best advice is to probably just ignore them. Otherwise, give us a call before you respond, and we can help you verify if the offer is real or bogus. Remember, “if something is free, you are the product.”
There are several different payment plans that student loan borrowers can choose from. Many of them, especially the Income-Driven Repayment (IDR) plans, have acronyms, which can make it confusing to keep them all straight. They fall into two broad, easily understood categories. The first is Fixed Payment; these plans are based on your total balance and how long you want to keep paying. They include the Standard, Graduated, and Extended plans.
There are several different payment plans that student loan borrowers can choose from. Many of them, especially the Income-Driven Repayment (IDR) plans, have acronyms, which can make it confusing to keep them all straight. They fall into two broad, easily understood categories. The first is Fixed Payment; these plans are based on your total balance and how long you want to keep paying. They include the Standard, Graduated, and Extended plans.
It’s amazing how much interest rates affect our lives today—from your mortgage to your car payment to the cup of coffee you buy with your credit card—even the price of your education! The base rate for interest is controlled by the Federal Reserve, which lends money to banks when their cash is low, and banks, in turn, pass that interest onto their customers. In short, that gives the Federal Reserve significant influence over the interest rates that consumers actually see, which allows them to massage the economy when inflation is too high or low. Since the Covid-19 pandemic began in 2020, the Fed has increased rates to try and curb inflation and stymie a recession. Just as the cost of mortgages and credit have increased, so too have the price of student loans, especially those borrowed from private lenders.
The Fed has finally started to lower rates, which could signal a major shift for lenders, including in the student loan sector. Credible.com is one of the major marketplaces for private student loans. Over the last couple of weeks, they’ve seen some fixed-rate private loans drop by almost a 1%, whereas variable-rate loans increased significantly. As the names imply, fixed-rate loans have the same interest rate throughout repayment, while variable-rate loans jump around based on the market. Just because they’re higher now doesn’t mean they’ll stay that way, especially since the Fed has signaled that it may continue to drop rates if the economy responds positively.
If you have questions about private student loans, interest rates, refinancing, and more, give us a call! We’re here to guide you on your repayment journey and find the path that will save you the most time, money, and headache.
If you have Federal Student Loans, schedule your free 15-minute Discovery Session to find out if your loans can be forgiven after 25 years.
There are several different payment plans that student loan borrowers can choose from. Many of them, especially the Income-Driven Repayment (IDR) plans, have acronyms, which can make it confusing to keep them all straight. They fall into two broad, easily understood categories. The first is Fixed Payment; these plans are based on your total balance and how long you want to keep paying. They include the Standard, Graduated, and Extended plans.
There are several different payment plans that student loan borrowers can choose from. Many of them, especially the Income-Driven Repayment (IDR) plans, have acronyms, which can make it confusing to keep them all straight. They fall into two broad, easily understood categories. The first is Fixed Payment; these plans are based on your total balance and how long you want to keep paying. They include the Standard, Graduated, and Extended plans.
If you’re considering pursuing PSLF, give us a call and let us guide you through the process and give yourself the peace of mind. If you’ve already gotten started on your own, we’re always here to double-check your work and make sure you haven’t missed anything.
If you have any questions about how these cases affect you and your student loans, we’re always here to help! Give us a call and we’ll help you navigate fact from fiction, reality from speculation.
Federal Student Aid has frozen payments for those borrowers who were enrolled in SAVE while the case is argued in court. The 10th Circuit Court of Appeals, however, reversed the lower court’s ruling and is allowing the Dept. of Ed. to implement all of SAVE while they hear the appeal, but borrowers’ payments will remain frozen as the case continues.