Student Loan Repayment: Standard vs. Income-Driven

Standard repayment

The standard plan uses fixed monthly payments over a set term (often 10 years). The payment depends on the balance, interest rate and term.

Term and total interest

Extending the term lowers the monthly payment but increases the total interest paid. Paying extra toward principal shortens the payoff and cuts interest.

Income-driven plans

Income-driven repayment (IDR) plans cap payments at a share of discretionary income and can extend the term, which may lower payments but raise lifetime interest. Federal and private loans differ.

FAQ

Should I pay extra?

Extra payments go to principal (once fees/interest are covered), reducing both payoff time and total interest.

Are the estimates exact?

This shows a standard fixed-payment estimate. IDR, subsidies and forgiveness programs change the actual numbers.

Related calculators

• Student Loan Calculator