Income Based Repayment (IBR) and Forgiveness

If you are part of the IBR program, you may be able to have some of your loans forgiven after 20 or 25 years of repayment.

Am I eligible?

If you make 20 or 25 years of eligible payments under the income-based repayment (IBR) program, you may qualify for forgiveness. (It’s a 20-year term for new borrowers as of July 1, 2014 or later, and 25 years for everyone else.)

Your payment amount is calculated each year and is based on your annual income (this includes your spouse’s income if you file jointly), family size, and the total amount of your federal student loans. Payments are capped at 10-15% of your discretionary income.

How much am I eligible for?

If you are eligible, you can have up to 100% of your outstanding balance forgiven after 20 or 25 years.

Which loans qualify?

• Direct Stafford loans
• Direct Grad PLUS loans
• Direct Consolidation loans
• FFEL PLUS Loans made to graduate or professional students (FFEL PLUS loans made to parents are ineligible)
• Federal Perkins Loans (if consolidated)

How do I apply?

Click here to learn more about IBR and other income-driven repayment plans. To apply for IBR, you can submit the application electronically here.


Questions? Contact Us!
or Go Back to Student Loan Repayment Plans