Federal Student Loan Forgiveness Update: Expanded Benefits Coming Soon
IDR Forgiveness Adjustments
Borrowers who have faced repayment deferment or forbearance may now qualify for additional credit towards their Income-Driven Repayment (IDR) forgiveness. These past periods of non-payment will be counted retroactively, benefiting individuals who have struggled financially during the pandemic.
SAVE Plan Implementation
The remaining provisions of the Significant Advances in Repaying and Advancing Visibly Every (SAVE) Plan will be implemented in July 2024. This plan will reduce monthly payments for millions of borrowers, further easing the burden of student loan debt.
Student Loan Debt Relief Programs
Federal Student Loan Debt Relief: This program provides up to $20,000 in loan forgiveness for eligible borrowers, based on income and other factors.
Public Service Loan Forgiveness (PSLF) Program: Individuals working in qualifying public service jobs may have their student loans forgiven after a certain period of time, usually 120 monthly payments.
Recent Forgiveness Announcement
The Biden-Harris Administration recently announced the approval of an additional $58 billion in student loan debt relief for over 77,700 borrowers. This includes the forgiveness of loans for students who have attended certain schools that engaged in deceptive or predatory practices, as well as for those with permanent disabilities.
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