Income Contingent Repayment Vs Income Based

The payments are capped at either 20 percent of your monthly discretionary income or your current month payments times your income percentage factor whichever is the.

Income contingent repayment vs income based. An income based repayment plan is another plan you can use to cap your monthly payments on federal student loans. There are currently four main income driven repayment plans. Income based repayment vs income contingent repayment. Under the income contingent repayment plan your monthly payments are calculated every month based on your adjusted gross income family size and the total value of your loans.

Income based repayment ibr income contingent repayment icr according to the u s. Income contingent repayment icr income based repayment ibr pay as you earn repayment paye revised pay as you earn repayment repaye there s also a little used income sensitive repayment isr plan in the federal family education loan program ffelp. However there are important differences between an ibr plan and an icr plan. By equal justice works staff writer march 23 2011.

In this article. Federal reserve some 20 of consumers who have outstanding student loans are struggling to pay off that debt.