If you have ever tried to make a loan payment in 2019 that you didn’t quite make in 2019 (or even a loan in 2019), you’re in luck.
The following calculator is for those of us who haven’t yet made a payment and who would like to make one in 2019.
The goal is to give you an idea of how much you will have to pay each month for tuition, books, and fees, plus a breakdown of your debt, interest rate, and other important information.
What does 2019 mean for college?
There are a few changes to college payments in 2019 and the average student borrower in the U.S. will be paying roughly the same amount in 2019 as they did in 2018.
Here are some of the biggest changes: College loans can now be forgiven if you’re approved.
Previously, you had to file for a repayment plan in 2018, and if you were approved, you’d be forgiven the amount of the loan.
Now, if you file for the repayment plan, you can request a deferment or a deferral period, which means that you can defer payments until you’re ready to start repaying your loans in 2019 or 2020.
That means if you owe $1,000 in 2019 but have a $10,000 loan, you’ll be able to defer payments of only $10 to $15 in 2019 instead of $100 to $200.
If you were able to qualify for the deferment, your payments in 2018 will be forgiven.
You can apply for forgiveness in 2018 if you made payments of $3,000 or more in 2019 for an annual payment of up to $8,000.
This is a great option if you’ve recently taken out a home loan and you’re still waiting to pay it off.
(If you applied for a home mortgage, you would need to pay $1.5 million in total, plus interest.)
You may be eligible for a loan modification if you meet certain requirements.
If your loan is under 5% of your income, you may qualify for a modified repayment plan.
If the loan is over 5% but is below 6% of income, a modified monthly payment plan may be available.
If there is a reduction in your monthly payment due to your disability or other hardship, you might qualify for an adjustment of your payment.
If any of the following applies to you, you could qualify for any of these modifications: You have been discharged from the military or the Coast Guard.
Your discharge is less than six months old.
Your military or Coast Guard release is less then two years old.
You are a citizen of the United States or of a country that has signed the International Civil Aviation Organization Convention.
If applicable, you have been a U. S. citizen for less than five years.
You have lived in the United Kingdom for at least three years, have an accredited postsecondary education in the UK, or were resident for at at least five years in the country.
(Note: If you are a student, you cannot use the UK-U.S./Canada-Canada border crossing to apply for a U-M.S.-sponsored student visa.)
You are not eligible for student loans, and you are not considered a dependent of a dependent, or you are applying to take a loan that is not your primary source of income.
You may qualify to apply to defer a payment of tuition, but you can’t defer payments on a loan you already owe, and the deferral will be automatically paid when you file your 2019 and 2020 financial statements.
If payments on your loan exceed $2,000 a month, you will be subject to a 10% tax.
If all of these changes apply, you’re looking at an interest rate of 7.25% per year, which is a lot of interest.
(That rate may rise, though, depending on your credit score.)
What do I do if I can’t repay my loans in 2020?
If you’re not sure if you can make a payment in 2020, here are some suggestions: Use the default repayment plan and take a deferable payment.
Your default payment is your interest rate plus 10%.
You can’t change your default repayment rate.
If that is the plan you have, you don’t have to take any other steps.
If, on the other hand, your default payment rate is 5%, your default monthly payment is $2.50 and you have no other outstanding loans, you should consider taking a deferible payment.
The deferment will be automatic when you pay the balance in 2019 in full.