Student Loan Repayment Options
Approximately one month before your first payment is due, you’ll receive a repayment disclosure statement that outlines your repayment options. You can choose:
Standard Option
With this plan, you’ll pay the same set amount every month for the duration of your loan (up to 10 years), with a minimum of $50 per month. Unless you choose otherwise, your loan will follow the standard repayment option.
Graduated Repayment
This plan allows you to begin with smaller monthly payments that will increase over the term of your loan. You’ll end up paying slightly more in interest costs over the life of your loan, but the low initial payments (minimum $25) help make repayment more manageable for new graduates.
Income-Sensitive Repayment
Under this option, monthly payments are adjusted up or down each year based on the borrower’s actual income. The minimum payment must cover monthly interest accrued.
Choosing the right option will help you better manage loan repayment can ensure your financial health.
Financial Aid Advisor
» The Inside Scoop for High School Students
» Types of Financial Aid: Know Your Options
» The Financial Aid Process
» Your First Step: Completing the FAFSA
» What you Really Need to Know about Financial Aid
» Important Dates: Your Financial Aid Calendar
» Student Loans
» Student Loan Repayment