Income-Based Repayment option for student loan debt.

You’ve done it. After years of hard work, you’ve finally earned your degree and graduated from college.  What’s next? Finding a job and a place to wholesale MLB jerseys live, budgeting for basic living expenses, and hopefully starting to put money away for the future. For about two-thirds of college graduates, paying Mooie off student loan debt is an additional priority. The average graduate leaves school with around $26,000 in student loan debt, a figure that continues to climb each year. While most college graduates may share similar student loan obligations, not all reach the same level of financial success after graduation, and a growing number of borrowers fall behind on their loan payments.

There are options available for struggling borrowers, yet whether due to lack of awareness, or confusion over how to apply, the number of borrowers enrolled cheap MLB jerseys in these programs remains relatively low. One such program is Income-Based Repayment (IBR), which calculates payments based on income and family size, cheap MLB jerseys rather than the amount of your student loan debt.

IBR has been available to borrowers since 2009, and most types of federal loans are eligible for enrollment in the program, with the primary exception Palazzo of PLUS loans that are made to parents. Private loans sur don’t qualify for IBR.

Borrowers experiencing a partial financial hardship who enroll in IBR can benefit from:

  • Payments set at 15% of their discretionary income
  • Student loan forgiveness on any remaining balance after 25 years of qualifying payments

While IBR allows for loan forgiveness after 25 years of timely wholesale NFL jerseys payments, it’s unlikely that most borrowers will remain on IBR for the full 25 years. One drawback to IBR, or any plan that extends your repayment term, is that you will pay more interest the longer it takes you to pay off your loan. Still, IBR is a great resource for borrowers who need to lower their payments until they’re in a position where they can afford standard payments.

  • Loan forgiveness after 10 years of working in public service.

If borrowers enrolled in IBR work full-time in public service positions, they can receive loan forgiveness through the Public Service Loan Forgiveness Program.

To see if you qualify for IBR, check out the Department of Education’s IBR Calculator. You’ll need to know your adjusted gross income, and the balance of your federal student loan debt. If you don’t know how much you owe, you can visit the National Student Loan Data System (NSLDS) to view your federal student loans.

If you do qualify, the Department of Education has recently simplified the tips application process, allowing borrowers to apply for IBR online.

Who is the NFCC?

Founded in 1951, the National Foundation for Credit Counseling® (NFCC®) is the nation's first and largest nonprofit dedicated to improving people's financial well-being.

NFCC members help millions of consumers like you through community-based offices located in all 50 states and Puerto Rico. Each NFCC member agency has earned our seal by adhering to high standards and ethical practices designed to help you achieve financial stability.

Member agencies are able to offer their services for nominal fees based on their current funding status. Funding for operations and services comes from an ever-changing combination of federal, state and local government grants, as well as donations from financial industry participants and private donors.

For more on the NFCC, visit www.NFCC.org

Thank you to our funders.

The Sharpen Your Financial Focus program is an initiative of the National Foundation for Credit Counseling (NFCC) in partnership with a broad cross-section of supporters. Together, we are committed to increasing the financial well-being of Americans. This initiative is partially funded by Bank of America, Chase, Synchrony Financial, Wells Fargo and other major financial institutions. We thank all funders and partners who make this program possible. For more information, visit www.SharpenToday.org.

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