Nearly half a million federal student loan borrowers will be denied the ability to make lower repayments on their student loads as the Trump administration seeks to overhaul the repayment system.

An Education Department spokesperson said the lowest monthly payment option was the SAVE Plan, a Biden-era plan that would cap payments at 5 percent of the borrower’s discretionary income for undergraduate loans and 10 percent for graduate loans. It has been blocked by the courts since June 2024.

It may make sense to switch to another income-driven repayment plan, but you do not have to make the move by Aug. 1. Here's what to know.