Forgiveness with Income-Based Repayment (IBR)

Forgiveness with Income-Based Repayment (IBR)

While this isn’t a forgiveness program in the typical sense, you can get your loans forgiven through the Income-Based Repayment program.

Generally 10 percent of your discretionary income if you’re a new borrower on or after July 1, 2014*, but never more than the 10-year Standard Repayment Plan amount

Who’s eligible?

Your IBR payments must be less than what your payment would be under the standard repayment plan. Estimate your payments through our IBR calculator to see if you qualify.

Which loans qualify?

Some loans might not qualify for IBR, so check to see if yours does. They include:

Direct subsidized and unsubsidized loans

Direct grad PLUS loans

Subsidized and unsubsidized FFEL Stafford loans

FFEL PLUS loans made to grad students

Federal Perkins loans, if consolidated

Direct consolidation loans, unless they were used to repay parent PLUS loans or FFEL loans made to parents

What are the requirements?

Borrowers must make consistent payments for 20 or 25 years and update their loan servicers when their income changes. IBR is best for borrowers who expect to stay in low-paying fields but have high-figure debt.

How do you apply?

To apply for IBR, submit an application through You can also obtain a paper application from your loan servicer. You’ll need to provide documentation as requested, such as proof of income and a tax return.

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