What if the Plan You’re in is Quietly Costing You Thousands?

At SDS, we regularly analyze user data to improve our tools, better understand borrower needs, and help future users know what to expect. In a recent article, we explored the wide range of repayment plans recommended by SDS. The takeaway? There’s no one-size-fits-all solution. Every borrower’s situation is different—which is why SDS provides personalized recommendations tailored to each user’s goals.

We wanted to understand what types of repayment plans borrowers have when they first come to SDS. After analyzing user data from the start of 2025 to the present, we learned that almost half of our users are currently in a standard repayment plan. That’s significant—because it means many of these borrowers could dramatically lower their monthly payments by switching to an income-driven repayment plan. SDS helps users identify these opportunities, which is why so many end up reducing their payments by more than 50%.

Interestingly, about 24% of SDS users come in with the SAVE plan—a choice that presents both risks and opportunities. While the plan may seem appealing because no payments are required during forbearance, it comes with significant downsides. First, the SAVE plan is being phased out. Second, while in forbearance, borrowers aren’t making qualifying payments toward PSLF, and their Debt-to-Income (DTI) ratio can worsen—making it harder to qualify for a mortgage. For borrowers aiming for forgiveness or homeownership, this can be a real setback. That’s why we strongly recommend exploring alternatives. An income-driven repayment (IDR) plan may involve slightly higher monthly payments but can help improve your DTI and ensure you’re earning credit toward forgiveness programs like PSLF.

No matter which repayment plan you're currently in, it's worth using SDS to see if you could lower your payments—and it’s always free to explore your options. If you're among the 67% of users who come to SDS with a Standard or SAVE plan, there’s a strong chance you could do significantly better. Take a few minutes to see what’s possible. Explore your options on the SDS platform today.