Your first payment
- Grace period: six months after you stop being enrolled at least half time (Direct Subsidized and Unsubsidized loans), unless you’ve used it up already.
- First bill: due within 60 days of the start of your repayment period.
- Plan choice: borrowers with a loan from on or after July 1, 2026 who don’t choose are put in Tiered Standard.
The calendar
| Date | What happens |
|---|---|
| July 4, 2025 | Public Law 119-21 signed; IBR’s hardship test removed |
| March 2026 | Court order ends SAVE |
| May 1, 2026 | Final regulations published |
| July 1, 2026 | RAP and Tiered Standard open; new loan limits; Grad PLUS ends for new borrowers; servicers start 90-day SAVE notices |
| Dec. 31, 2026 | Last day to enroll in auto pay for the 1% interest rate reduction; all SAVE borrowers notified by the end of 2026 |
| Spring 2027 | IBR and PAYE interest help requires on-time, full payments |
| July 1, 2027 | New loans lose unemployment and economic hardship deferments; forbearance capped at 9 months in 24; loan rehabilitation can be used twice |
| June 30, 2028 | Auto pay rate reduction ends; PAYE and ICR close |
| July 1, 2028 | ICR/PAYE borrowers who didn’t choose are moved to RAP or IBR |
Each row links back to an official source on its guide page.
Not financial or legal advice. This page explains the published rules. It does not tell you which plan to choose. Your loan servicer and StudentAid.gov have the final word on your account.
Official sources
- 34 CFR 685.207, obligation to repay and grace periods (current eCFR)
- Public Law 119-21 (H.R. 1, signed July 4, 2025), Title VIII, Secs. 81001–82004
- StudentAid.gov: SAVE Plan Borrowers – FAQs About Choosing a Different Repayment Plan (October 2026)
- U.S. Department of Education press release, Sept. 29, 2026: enrollment period extended
Last verified Oct 17, 2026. Corrections are logged on What changed.
Next guide: Deferment and forbearance changes for loans made from July 1, 2027