Income Driven Repayment (IDR) for Doctors

Income-Driven Repayment (IDR) was introduced to provide federal student loan borrowers with options other than forbearance to help make monthly payments more manageable. Different IDR options include Income-Based Repayment (IBR), Income-Contingent Repayment (ICR), Pay As You Earn (PAYE), and the newest plan – Saving on a Valuable Education (SAVE). All IDR plans adjust federal borrower’s payments based on their adjusted gross income and family size – not how much they owe. Those pursuing Public Service Loan Forgiveness (PSLF) are typically enrolled in an IDR plan.

For borrowers with federal student loans, or a combination of federal and private loans, our student loan experts can help you weigh your options. During your consultation, a specialist will break down your student loan profile, provide a chart on what your new loan payoff could look like, answer questions about what terms are the best for your unique situation, and answer any application questions you may have.

If refinancing is determined to be your best option, they can help you understand what information impacts the interest rate that you might expect to be offered on your loan refinancing. Items such as your FICO score, income level, student loan balance, and current interest rate structure can impact your offer, and your specialist can walk you through how to qualify for the lowest rates on your loans.

The Department of Education (ED) will conduct a one-time account adjustment to borrower accounts that will count time toward IDR and PSLF forgiveness, including:

• any months in a repayment status, regardless of the payments made, loan type, or repayment plan;
• 12 or more months of consecutive forbearance or 36 or more months of cumulative forbearance;
• months spent in economic hardship or military deferments after 2013;
• months spent in any deferment (with the exception of in-school deferment) prior to 2013; and
• any time in repayment on earlier loans prior to consolidation of those loans into a consolidation loan.

Borrowers who have commercially managed FFEL, Perkins, or Health Education Assistance Loan (HEAL) Program loans may need to apply for a Direct Consolidation Loan in advance of the deadline to get the full benefits of the one-time account adjustment. For more information, visit studentaid.gov.

The past few years have seen many changes in the federal student loan landscape, from the COVID-era payment pause to numerous changes with the application and processing of federal repayment programs. Though the Department of Education has taken steps to make the process easier, borrowers still face many challenges managing and repaying their student loans. To help you find peace of mind, we’ve created an annual membership that offers expert guidance from our dedicated team who specialize in federal forgiveness programs like Public Service Loan Forgiveness (PSLF) and Income-Driven Repayment (IDR).

After completing a free student loan consultation, our team will be able to recommend either a PSLF or IDR Counseling membership based on your individual circumstances. With an annual membership, our team can help you navigate the complexities of federal program updates, track your eligible payments, review your repayment plan options, and help you stay on track towards student loan forgiveness year after year. Our team can also help you make appeals with the Department of Education, if there are any discrepancies, and you’ll have year-round access to our team by phone, email, or video call. The cost of the annual membership is $549, but you can receive a $200 discount* when you combine your membership with a Laurel Road Freedom Plus Checking℠ account and complete qualifying checking activities. The new Freedom Plus Checking account can help you easily track your student loan forgiveness payments and progress – with all the benefits of our digital checking account, learn more here.