Parent loans, not loaning money from parents, will not restructure payments based on income of the student. About half of my undergrad loans are parent loans.
Are you talking about PLUS loans? Because those ARE loaning money from parents; it's just that the parents borrowed the money to loan it and it's the parent's responsibility to pay it off. The government loan isn't to the child in the first place.
Or am I misunderstanding?
I don't know the difference. Only that my parents have loans from my undergrad, and I can choose to just not pay them, but I'm not a piece of shit (aka, my younger two siblings). But those loans can not get adjusted payments based on my income.