Reboot Your Life: Tampa Student Loan and Bankruptcy Attorney Blog
RAP: The new Repayment Assistance Plan (RAP) began on July 1, 2026, but information about it remains elusive. Check the online government portal at studentaid.gov for updates. Remember, while RAP is a 30 year plan for forgiveness, it does offer an elusive interest subsidy that the older Income Driven Plans do not. Any accrued credits toward an IDR will transfer to RAP. Also, only on time payments count toward forgiveness.
RAP is not available for those with Parent Plus loans or any Consolidation loan which includes a Parent Plus loan. Therefore, the interest subsidy provided by RAP does not apply to any Parent Plus loans.
Tiered Standard Repayment Plan: This plan is no longer based upon a 10 year term for everyone. It is now based upon the principal of the loans:
Under $25k: 10 years
$25k to $49,999: 15 years
$50k to $99,999: 20 years
$100k +: 25 years
Importantly, the Tiered Standard plan does not count for PSLF. In most cases, RAP is the better option b/c it counts toward PSLF and has an interest subsidy. The older IDR plans are still available for two more years until mid 2028 and they may be the best option.
Set a strategy session with us if things are confusing and to see what option may make the most sense for you.
