When federal student loan borrowers resume their payments in the fall, they'll find another repayment option available to them.
The U.S. Department of Education said borrowers can enroll in "the most affordable repayment plan ever created" later this summer, and before the over three-year-long pause on federal student loan payments concludes.
According to the Education Department, the Saving on a Valuable Education, or SAVE plan, is an income-driven repayment plan that can cut borrowers' monthly payments in half, and will leave many people with a $0 monthly bill.
"The SAVE plan is very generous to borrowers, almost like a grant after the fact," said higher education expert Mark Kantrowitz.
Borrowers who make under $15 an hour won't need to make any payments, the department says.
Persons:
they'll, Mark Kantrowitz, Kantrowitz
Organizations:
U.S . Department of Education, Education Department, Valuable Education, Finance