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Borrowers have a number of options for the repayment of their consolidated student loans. Most options vary by the payment amount and the time period over which the total payment must be made. Borrowers may change repayment plans at any time. The following are among the most popular options.
- Standard Repayment Plans: These are fixed monthly payments that are spread out over a maximum of 10 years.
- Extended Repayment Plans: These are fixed monthly payments with the repayment period ranging from 10 years or more, depending on the amount of the loan.
- Graduated Repayment Plans: In these plans the monthly payment increases periodically, with the repayment period varying depending on the total amount borrowed
- Income Contingent Repayment Plans: With the IRC plan the monthly payment is based on a borrower's annual income, family size and total debt, spread out over a term of several years.
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