Start a degree program at American Public University.
By Ryan Laspina
Senior Specialist, Red Flags and External Reviews, APUS
Many Federal Student Aid (FSA) loan borrowers may not realize that there are several repayment plans available to them through their loan servicer. The default standard plan has a 10-year repayment period with fixed monthly installments. However, there are other options.
For example, borrowers who are not in a financial position to make the standard payments have some choices. StudentLoans.gov has a Repayment Estimator tool on its website where FSA borrowers can examine various repayment options.
Tips for Using the Repayment Estimator
Before using the Repayment Estimator, be sure you are signed into your account with your loan servicer. You will need to provide some information, such as your total debt and the interest rate on your loans.
You will also need to include information about your dependents and your marital status. This information affects your eligibility for some repayment plans.
Some information about your income is required as well. For instance, you must include your Adjusted Gross Income (combined with your spouse’s if you’re married). This information can be found on your most recently filed IRS 1040 form or on your tax transcript, which is a detailed, line-by-line breakdown showing your Adjusted Gross Income.
While paying back your FSA loans can seem like a daunting task, it can become overwhelming if you do not have all of the information you need about repayment plans. The Loan Repayment Estimator is a helpful tool when you are ready to choose a repayment plan. As always, be sure to stay in constant communication with your loan servicer, your best resource in regard to loan repayment.