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Why did my payments go up under the new SAVE program with Mohela? My income has not substantially changed, so it should have gone down, not up, right?
Why did my payments go up under the new SAVE program with Mohela? My income has not substantially changed, so it should have gone down, not up, right?
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Abbey Johnson, Helping with Student Loan DocumentationAnswered on September 29,2023
The benefits of the SAVE Plan are particularly critical for low- and middle-income borrowers, community college students, and borrowers who work in public service. However, the SAVE Plan may not be the best option for everyone, depending on their current situation. For some borrowers, the SAVE Plan may not provide a reduced monthly payment amount compared to their current plan. There are other SAVE Plan benefits (such as the government interest subsidy and IDR loan forgiveness) to consider.
Use the Loan Simulator to see which repayment plan works best for you: Student Loan Simulator
Note: Beginning July 2024, there will be additional benefits available to SAVE Plan borrowers related to monthly payments and IDR loan forgiveness. More: Save Plan
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Ultimate Guide on SAVE Plan - Payment Calculation, Interest, Forgiveness
Under the Saving on a Valuable Education (SAVE) plan, a single borrower who makes less than $15 an hour will not have to make any payments. Borrowers earning above that amount would save mor..Click here to get a detailed guide
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