No, we’re not going to come for your house.
Yeah, we debated putting this section on here, because no one wants to talk about this part. But because it’s scary, we need to make sure you know you’re covered here, too. If your business fails, your loan can convert into income-driven repayment so you can find the right job for you, and your payment adjusts with your income at 15% of what you earn. It only lasts until you hit the repayment cap ($75,000) or until you hit the term cap (5 years). Then you’re done, no matter what.