Repayment plans

Repayment plans are structured agreements that outline how a borrower will pay back a loan over time. They specify the amount to be paid in each installment, the frequency of payments, and the duration of the repayment period. Common types include fixed plans, where payments stay the same, and income-driven plans, which adjust payments based on the borrower’s income. These plans help borrowers manage their debt by making payments more predictable and affordable, ensuring they can repay their loans while maintaining their financial stability.