Two main groups of student loan borrowers should complete this income-driven repayment plan form:
Federal student loan borrowers who want to enroll in an income-driven repayment plan for the first time; and Federal student loan borrowers who need to make changes to their current income-driven repayment plan.There is no application fee to enroll in an income-driven repayment plan. There are private companies that are not affiliated with the U.S. Department of Education that will try to charge you a fee to complete the application for you. Remember, it’s completely free to enroll, so you don’t have to pay a company to “get student loan forgiveness” or “lower your monthly student loan payment.
Recertify your income and family size every year. This is especially important after the Covid-19 pandemic if you are currently unemployed, change your family size, or changed your income. Contact your student loan servicer to update your income annually, as this can affect the amount of your monthly student loan payment.
Income-driven repayment plans aren’t for everyone. If you’re focused on saving money and paying off student loans faster, then income-driven repayment plan may not be for you. If you have higher income, it’s also possible that you would pay off your federal student loans before 20 or 25 years, meaning you may not get any student loan forgiveness through an income-driven repayment plan. That’s why it’s essential to undertand all your options for student loan repayment.