How do I turn my 10yr student loan plan into 25 yr?
I have $11,000 in student loans. Federal. Right now I’m on the 10yr plan but Id really like to get on the 25yr plan. How can I go about this? Do I just call and tell them or is there certain eligibility requirements? and if so, what?
Honestly, if you only have $11,000 in student loans, it would be really stupid to extend them to 25 years. You would be paying so much money in interest that by the time your loans are paid off, you’ll probably have paid $40,000 on that $11,000! You’re only looking at about $100 month for repayment over 10 years. If you truly want to change to a longer loan term then you can apply for the income-based repayment plan. This plan will allow you to make payments based on your income (they’ll provide the payment amount), and you will have to pay for 30 years (or until your loan is payed off). If you still have loan debt after 30 years of continuous payments, then the extra will be forgiven. You have to qualify for this plan and it’s based on household-size and income.
