What repayment plans are available on my consolidation loan?
Your consolidation loan can be repaid on a Standard, Graduated, Income Sensitive
or Extended repayment plan, depending on your financial situation.
Standard Plan: Fixed monthly payment that covers both principal and interest. The
final payment may be slightly higher or lower.
Graduated Plan: Your payments are lower in the beginning of repayment and increase
after 2 years.
Income Sensitive Plan: This plan requires payments that are adjusted annually to
be between 4% and 25% of your total expected gross monthly income. You may elect
an income sensitive repayment plan through the loan servicer after your loan has been consolidated. Income sensitive payments are in effect for 12 months at a time and require
that you recertify your income and provide supporting documentation each year.
Extended Plan: If your loan total is in excess of $30,000, you may choose to repay
your consolidation loan over a 25-year term on a fixed or graduated payment
plan. If you intend to elect the income sensitive plan, you must have at least
$40,000 to qualify for a 25-year repayment term. How long can I
take to repay my consolidation loan?
Depending on the amount of your student loan debt, you can elect a repayment
term anywhere from 10 years to 30 years. With all of our repayment plans and
terms there are no prepayment penalties, so you are free to pay off the loan
as quickly as you want to.
Total Student Loan Debt
$7,500 - $9999
$10,000 - $19,999
$20,000 - $39,999
$40,000 - $59,999
$60,000 and up
Maximum Repayment Term
10 Years (120 months)
15 Years (180 months)
20 Years (240 months)
25 Years (300 months)
30 Years (360 months)
Can I change my repayment plan and term?
You can change your repayment plan once a year and you can choose a shorter
repayment term after you consolidate. However, many borrowers choose a standard
repayment plan with the maximum available term so that they have the flexibility
of the lower required payment with the freedom to pay more whenever they have
additional money.
Are there any penalties for paying off my loan early or sending in additional
payments?
No. There are absolutely no prepayment penalties for paying off your loan early
or sending in additional payments.
When does repayment begin?
Your first payment will be due within 30 days of your consolidation loans funding
date. You will receive a repayment schedule from your new servicer once your
loan has been funded.
