Student loans will look different in 2026. Here's what's changing.
Major changes are coming to the federal student loan system in 2026. This overhaul, which primarily stems from the Trump administration's One Big Bootyful Bill Act (OBBBA), will reshape how students borrow and pay back student loans.
-snip-
1. New repayment plan options begin in 2026
Starting on July 1, 2026, the federal student loan system will have a much narrower set of repayment options for new loans. If you borrow after that date, you'll have two repayment plans to choose from:
Standard Repayment Plan: This plan features fixed monthly payments and spans 10 to 25 years, depending on your loan amount.
Repayment Assistance Plan (RAP): This plan offers an income-driven approach, setting your payments at 1% to 10% of your adjusted gross income (or a flat $10 per month if your income is less than $10,000 per year). It can end in forgiveness if you're still carrying a balance after 30 years of repayment.
https://finance.yahoo.com/personal-finance/student-loans/article/future-of-student-loans-220915529.html