Student loan borrowers in an income-driven repayment plan will get to keep lower monthly payments a little longer because the deadline to recertify your income has been pushed back.
The Department of Education (ED) said IDR borrowers won’t have to recertify their incomes, or provide their latest income information, until “late September 2024, at the earliest.” Previously, ED said recertification could come as soon as March 1. Annual recertification is typically within a year of choosing an IDR plan as one of your repayment options, so borrowers’ recertification dates vary.
The delay means monthly payments will likely stay relatively low. Monthly IDR payments are based on a borrower’s annual income, and borrowers haven’t had to recertify income since before the pandemic. That means many borrowers on any IDR plan are making payments based on their 2019 income. Most borrowers likely have higher income now after the past two years of high inflation and a strong jobs market.
The extension is “part of our continued support for borrowers as they return to repaying student loans,” ED said.
What if I’ve already recertified?
Many borrowers likely received notifications from their loan servicers over the past few months and may have already recertified.
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If you recertified and your payment rose, “we will return you to your previous monthly payment amount until your new recertification deadline,” ED said.
If your payment remained the same or…
