Affordable PLUS Repayment Options for Parents Act of 2025

Affordable PLUS Repayment Options for Parents Act of 2025 This bill allows borrowers of Parent PLUS Loans to repay their loans under an income-contingent repayment (ICR) plan or an income-based repayment (IBR) plan. Under current law, borrowers of Parent PLUS Loans are only eligible for the following repayment plans: the standard repayment plan, the graduated repayment plan, and the extended repayment plan. These borrowers are generally prohibited from repaying their loans under ICR or IBR plans. However, borrowers may become eligible for the ICR plan upon consolidation of their loans into a Direct Consolidation Loan. This bill removes these restrictions to allow a borrower of a Parent PLUS Loan to repay the loan under an ICR plan (even without consolidation) or an IBR plan. The bill allows these expanded repayment options to be available to new and existing borrowers of Parent PLUS Loans.

Source: Congressional Research Service (CRS).