Student loan Repayment Assistance Plan launches, find out how to qualify

The U.S. Department of Education launched the Repayment Assistance Plan (RAP), allowing federal student loan borrowers to make income-based payments of 1-10% of their income, reduced by $50 per dependent. Borrowers making 360 on-time payments can apply for an interest waiver and matching principal payment. A separate Tiered Standard plan offers fixed repayment terms of 10-25 years based on loan amounts, replacing the previous 10-year default plan. Both programs began on July 1.