There are several payment options to pay back your student loans:
- Standard
- Graduated
- Extended
- IBR (Income-Based)
- ICR (Income-Contingent)
- Pay-As-You-Earn (PAYE)
- ICR-A *not pictured below
Via: NerdWallet
The first three payment options are probably familiar while the last four may be less familiar. Standard consists of standard payments of interest and principal over a 10-year period. Graduated is when you start off making interest-only payments for the first two years and then go to a standard plan. Extended is when they extend it to a 20 to 25-year term based on the balance.
IBR is a payment plan essentially based on your income. ICR and ICR-A are similar plans contingent on income. The Pay-As-You-Earn (PAYE) plan is similar to IBR and ICR plans, but it has very specific rules based on the time the loans were disbursed and who the lender is.
For a full breakdown on different repayment options, you can grab a copy of our comprehensive guide, Take Back Control: Manage Your Student Loan Debt, detailing how each option works with provided examples. Get your signed copy today! CLICK HERE
Or contact us to schedule an appointment so we can figure out which option is best for you!
Degrees of Success offers a variety of services to help you manage your student loan debt, and is dedicated to your financial success! Be sure to view all our products and services at our site.
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