The Education Department temporarily paused these applications after the U.S. Court of Appeals for the Eighth Circuit ruled that the agency should stop implementing the Biden administration’s Saving on a Valuable Education (SAVE) Plan and other parts of some income-driven repayment plans.

Income-Contingent Repayment (ICR)—determines payments as either 20 percent of discretionary income or a fixed amount over 12 years, whichever is lower. Loan forgiveness is available after 25 years, and this is the only income-driven plan accessible to Parent PLUS Loan borrowers through consolidation.