I find it difficult to comprehend why everyone isn’t simply utilizing the SAVE plan. Something has to be missing, I believe.
What would prevent someone from enrolling, paying everything off in one big lump sum after a few years since interest doesn’t accrue while you’re on it, is I right?
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For the majority of borrowers, the SAVE Plan is an excellent alternative, but it’s not the best choice for everyone. The SAVE Plan might not be in line with your repayment objectives if you’re hoping to pay off your loans faster or if you simply want to make a set number of payments over time.
No. This is untrue. Interest accrues in the standard manner. If the monthly accrual is greater than your minimum payment, there is an interest subsidy.
The right response is dependent on your income. SAVE makes perfect sense if your annual income is $30k or less. It might not be if you make more than $70,000 a year; the higher you go, the less sense it makes.