Repayment Plans

  1. Standard Repayment Plan
  2. Graduated Repayment Plan
  3. Extended Repayment Plan
  4. Income Driven Repayment Plans
    1. Income-Based Repayment (IBR) Plan
    2. Income-Contingent Repayment (ICR) Plan
    3. Pay As You Earn (PAYE) Repayment Plan
    4. Revised Pay As You Earn (REPAYE) Repayment Plan

A few things to think about when looking at Direct Loan repayment plans:

  • You can prepay your loan at any time without penalty. Learn more about this in the FAQ page under the “Your Information” section.
  • If your loan has a variable interest rate, your monthly payment amount can change annually.
  • Your repayment period excludes time when your loan is in deferment, except for Economic Hardship Deferments after October 1, 2007, for ICR and IBR.

Changing Repayment Plans

You can change your repayment plan as often as you want as long as the new plan has a longer repayment term than the amount of time you’ve already spent in repayment. Your new repayment plan is calculated by subtracting the amount of time you’ve already spent in repayment from the repayment term allowed under the new plan. To change your plan, complete the Repayment Plan Selection Form and return it to CornerStone, or call us at 800-663-1662.

  1. If you are required to repay under the Income-Contingent Repayment (ICR) plan, you have to make three consecutive on-time payments of a payment amount based on your income before changing to another plan.
  2. If you choose to leave an Income-Driven Repayment plan, your account will be placed on the Standard Repayment Plan.
  3. You can change your Income-Driven Repayment plan at any time.
  4. Your repayment plan options depend on the type of loans you have.