I just read that the RAP program won’t let you accrue interest on your principle a month if you make a payment and the interest is bigger than your payment. So my principal would be the same after the 30 years and I know what my forgiven amount would be. Isn’t that better than SAVE? I’m in SAVE and I see the interest continuing to grow and who knows what it will be after another 11 years? I’m still on SAVE and waiting it out but RAP seems like a really optimal choice to switch to versus staying on SAVE until 2028. Thoughts?
Posted by jrock4389
2 Comments
Save also has an interest subsidy. It’s a wash. The interest at this point is illusory.
SAVE had a similar interest subsidy. RAP is 30-year forgiveness while SAVE was 20- or 25-year. SAVE also had a much more favorable payment calculation.