The Department of Education reports that borrowers who switched to the SAVE income-driven repayment plan are saving an average of $200 per month compared to standard repayment, with 4 million borrowers now enrolled.

How SAVE Works

Monthly payments are capped at 5% of discretionary income for undergraduate loans and 10% for graduate loans. Borrowers earning under $33,000 individually owe $0 per month. Remaining balances are forgiven after 20-25 years.

Enrollment

Borrowers can switch to SAVE at studentaid.gov in under 10 minutes. The Department has launched a campaign targeting the 8 million eligible borrowers not yet enrolled.