I've kept up on reading the posts and news about SAVE ending. And like everyone else I'm super pissed. What I can't figure out at all is why my monthly payment is jumping from $60 to $966 a month. I have tried using the loan simulator repeatedly and it suggests that on IDR I should be at $567. Then I reapply and a week later I get a notice that the payment is $966. I literally cannot afford that. What am I missing? Why isn't it using the number the calculator produces? Any ideas on how to lower this?
Posted by Honest_Power_1813
8 Comments
What is your income? How much do you owe?
Then you need to increase your income you do not have much of a choice. You took out the loans.
damn that jump is insane, going from $60 to almost a grand would wreck anyone’s budget. the calculators are probably still using old SAVE data or something since everything’s been such a mess with the legal stuff
might be worth calling them directly instead of just using the online tools – sometimes the reps can see what’s actually happening with your specific case that the automated stuff misses
Has your income gone up? Everyone has to recertify their income when we switch plans. If your SAVE payment was lower due to low income and now your income has changed, then this will cause a payment increase.
You’ll probably have to do one of the extended standard plans.
I would call!! I had to do the extended standard plan to fit my budget as I can’t use my husbands income with mine. If that was the case mine would be at $700 a month if not more and I can’t afford that. I would call.
I wish I knew, I am going from $240 (REPAYE) to $1200 (IBR)
As everyone else is saying, CALL YOUR SERVICER. You are on a 10 year repayment plan.
If your loans are older than 2014, you’ll pay 15% of your income AFTER TAXES.
If your loans are after 2014, your Payment will be 10% AFTER TAXES.
PROTIP. Lower your student loan payment by contributing to a Traditional 401k. Roth doesn’t apply as it’s after taxes going into your retirement. Traditional IRAs lower taxable income.