Student loan borrowers face higher payments as SAVE plan ends, report says

The short version

• Federal student loan borrowers must transition off the overturned SAVE repayment program within 90 days of receiving notice.[CNBC]
• Millions of borrowers remain in the defunct plan, with the earliest exit deadline set for September 29.[CNBC]
• Borrowers who fail to select an alternative option will be automatically moved to default standard plans with significantly higher monthly costs.[CNBC]

Key facts

• The SAVE repayment plan was struck down by Republican-led legal challenges and legislation.[CNBC]
• More than 6.9 million borrowers remained in the SAVE plan as of March, holding an average debt close to $55,000.[CNBC]
• Borrowers have roughly 90 days after receiving notification from their servicer to choose an alternative repayment option.[CNBC]
• Those who do not select a new plan within 90 days will automatically be reassigned to the Standard Repayment Plan or Tiered Standard Plan.[CNBC]

Sources

Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.

• Student loan borrowers exiting SAVE may face sharply higher payments if they don't take action soonCNBC