Comments on the Department of Education’s proposed income-driven repayment plan

On February 10, New America submitted comments in response to the Department of Education's notice of proposed rulemaking outlining a new income-driven repayment (IDR) plan.

We are pleased that the Department is proposing important steps to reform income-driven repayment that target those who are most vulnerable, including: streamlining plans, lowering payments and reducing time spent in repayment, helping borrowers manage balance growth, streamlining access to IDR, and providing an IDR option for borrowers in default, among others. These come in addition to other Biden administration initiatives to support struggling borrowers and correct past failures in the repayment system. We encourage the department to further reduce complexity, ensure reforms are borrower- and equity-focused, and protect borrowers’ and taxpayers’ resources by creating a strong accountability structure that ensures that borrowers aren’t harmed by our student lending system or by predatory institutional actors.