The New Reality For Student Loan Borrowers : 1A

How will the new Repayment Assistance Plan for student loans work?

The second Trump administration has ushered in many changes for student loan borrowers. These changes include, as part of the budget reconciliation bill, a brand-new repayment plan: The Repayment Assistance Plan (RAP), which will replace existing income-driven repayment plans.Although this does streamline the sometimes confusing array of current choices — and maintain a repayment option that modifies monthly payments based on income — it has som…

The New Reality For Student Loan Borrowers : 1A

Nearly 43 million Americans have federal student loan debt. Their borrowing totals more than $1.8 trillion. That’s according to the Education Data Initiative.Now, the federal student loan system is facing significant changes under the Trump administration.One of the biggest differences is the end of the Saving on a Valuable Education, or SAVE plan, started by President Joe Biden. The income-driven program offers low monthly payments and an exped…