Fixing Income-Driven Repayment for Federal Student Loans
Back
Affordability

Fixing Income-Driven Repayment for Federal Student Loans

How IDR Works and Enrollment Trends

Posted: March 23, 2021
Author(s): Jason D. Delisle and Preston Cooper
Organization(s): American Enterprise Institute

The income-driven repayment (IDR) plan allows all federal student loan borrowers to limit payments to a small share of their incomes and provides loan forgiveness benefits. This report argues that instead of providing mass loan forgiveness, policymakers should strengthen IDR for vulnerable borrowers while reining in excessive benefits for borrowers with graduate school loans.

Download