Standard College Loan Repayment Program - Federal Student Loans

The college loan repayment program that is the standard one for all federal school loans (including student loans consolidation) has 120 payments.

These are equal payments and the interest is figured so that it is compounded monthly. Your monthly payment is required to be at least $50. If the balance would be paid off earlier than 10 years at $50 per month, then your federal loan repayment term will be less than the normal 10 years, but the payment would never drop below $50.

If you do not choose a payment plan by the time your repayment period starts, you will be assigned to this one. This is considered to be the standard program because it results in the lowest total interest paid of any of the plans. (The government school loans extended repayment plan has smaller monthly payments, but a greater total amount.)

You may choose a different federal school loans repayment plan with a lower monthly payment formula at any point. (All the other plans have smaller monthly payments to begin with. They will of course, take longer to pay off your balance than this one.)

Use the calculator to see the amount you will pay each month on the standard plan.

College Loan Calculator to Figure Loan Payments

There is no prepayment penalty for making higher payments, but overages will be applied first to fees, then interest, then principal.

If you can make larger payments than required early in the repayment period, your monthly amounts will be lower later on.