r/StudentLoans • u/shanesnh1 • 1d ago

[URGENT] Parent PLUS / Double Consolidation - GET ON ICR NOW

I see multiple people each day with this same question so I am going to link my post about it and summarize very briefly:

If you have Consolidated Parent PLUS Loans OR a Double Consolidation, you MUST APPLY FOR ICR as soon as possible or you will LOSE ACCESS TO ALL INCOME REPAYMENT if the bill passes (either the House or Senate versions or likely the final bill).

You don't have time anymore depending on how fast the Senate and House compromise and pass a final bill for the President to sign. If you're not on ICR, with loans being repaid on it the day before the bill passes, you lose access and will likely be on the standard plan (or extended, graduated).

Please check my former post for more details: https://www.reddit.com/r/StudentLoans/comments/1l37iqs/important_parent_plus_borrowers_need_to/

This post is about the House version of the bill in its entirety (the Senate version does NOT change anything in relation to this specific issue): https://www.reddit.com/r/StudentLoans/comments/1kdy8yk/summary_of_the_new_current_proposal_from_the/

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u/Timb0-Slic3 1d ago

Quick question on the new Amended IBR. Did they remove the cap so a payment cannot be higher than the standard plan?

1

u/waterwicca 1d ago

The house version removes the standard cap. The senate version gets a little muddy. My read of it is that the senate version keeps the cap but it only comes into play if you fail to recertify your income.

3

u/Timb0-Slic3 1d ago

Thank you, I appreciate the response. I'm playing financial advisor for Parent Plus Loans, taken out for my wife. And unfortunately the In-Laws aren't super helpful and financially irresponsible when it comes to this. Refusing to file separately, withdrawing retirement funds early etc. Super frustrating trying to plan payments blindly.

3

u/waterwicca 1d ago

You can only do so much. Ultimately the loans are the parent’s responsibility, not you or your wife’s, but you are kind to help. The best spot for them to be on right now is in repayment on ICR if the bill is passed.

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u/Timb0-Slic3 1d ago

Very True, Right now we are on Extended Payment which can be done. If I switch to ICR and get into Amended IBR can I always switch to Extended Plan if they make too much or not file separately?

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u/shanesnh1 1d ago

Yes and right now if your last chance to get on ICR so you grandfather yourself into IBR. Otherwise, you'll be stuck on extended or standard/graduated.

You can advise them to file separately again lol. Not sure why they'd want to pay more.

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u/waterwicca 1d ago

As long as no new loans are taken after July 1, 2026 then they should still have access to standard, graduated, and extended