Back to Home Page

Repayment Options


My Situation

MOHELA offers a variety of options to manage the repayment of your loans including repayment plans and ways to lower your payment or provide temporary relief. To explore options that are available based on situations you may be facing visit My Situation.


Repayment Plans

Several repayment plans are available to help manage your student loan account. Each repayment plan has distinct requirements which may result in paying less interest over time or offer greater benefits such as loan forgiveness. If your circumstances don’t fit the repayment plans listed below, we encourage you to call us at 800.945.4701 (Toll Free) to discuss other alternatives.

Plans based on the length of time in repayment:

  • Standard (Level) Repayment

  • Extended Repayment

  • Graduated Repayment


Plans driven by income:

  • Income-Based Repayment (IBR)

  • Income-Sensitive Repayment


There is a lot to know about income-driven repayment plans and it is important that borrowers renew their IBR plan on time each year to avoid potential consequences.


Estimate Your Payments

Repayment Plan Evaluator

Compare repayment plans and choose the right one to fit your needs (login required).

Repayment Estimator

Log in to StudentAid.gov to base estimates off of loans retrieved from the National Student Loan Data System (NSLDS) or enter your loan information manually.

Repayment Amortization

You can estimate your payments with various interest rates and loan terms using this calculator and view a repayment amortization schedule.



Repayment Plan Summary

Plans Loan Term Eligibility Payments Advantages Helpful Information
STANDARD REPAYMENT 10 Years (up to 30 years if consolidated) You will be placed on this plan if you do not select another plan Fixed monthly payments This is the fastest and least expensive plan based on interest paid This will be the plan you are placed on if you do not select another plan
GRADUATED REPAYMENT 10 Years (up to 30 years if consolidated) Upon request Payments start low, increase every 2 Years Works well if you expect your income to increase over time Increasing monthly payment amounts over time

The amount due each month must cover your interest
EXTENDED REPAYMENT Up to 25 Years Must have more than $30,000 in FFELP or Direct Loans Fixed or graduated payments Lower monthly payments over a longer time frame You will generally pay more interest on this plan due to the longer repayment term
INCOME-BASED REPAYMENT (IBR) 25 Years (20 years for new borrowers as of 7/1/2014), any remaining balance may be forgiven Must demonstrate need based on your total federal student loan debt, adjusted gross income and family size

Your calculated payment must be less than what you would pay under the Standard (10-year) Repayment plan		 Monthly payment generally set at 15% of discretionary income (10% for new borrowers as of 7/1/2014) A reduced monthly payment amount. If you no longer qualify for a reduced monthly payment, your monthly payment will cap at the 10-year payment

Interest subsidy may apply

May also be used with the Public Service Loan Forgiveness Program		 Annual recertification of income and family size

More information about Income Based repayment plans
INCOME-SENSITIVE REPAYMENT 5 Years, then returns to Standard or Graduated Based on your gross monthly income Lowers payments for 12 months at a time Payments are affordable based on your gross monthly income Annual recertification of gross monthly income

Parent PLUS Loans do not qualify for IDR Plans. Borrowers with Parent PLUS loans may consolidate and request ICR.

If your consolidation loan was disbursed on or prior to 7/1/2006 and the consolidation loan includes Parent PLUS loans, your consolidation loan may not be eligible for IDR Plans.