PSLF News & Analysis
2 articles
Market Mood
PSLF Program Limitations Blocked After Federal Court Rulings
Two federal judges ruled against the Trump administration's limits on the Public Service Loan Forgiveness (PSLF) program. The regulations, which were set to begin on July 1, aimed to redefine 'qualifying employer' and potentially disqualify many non-profit organizations. Over 9 million borrowers might be eligible for PSLF, as estimated by Protect Borrowers in 2022. This decision is significant as it prevents new restrictions that could have affected public servants relying on loan forgiveness.
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Over 643,000 federal student loan borrowers await plans or forgiveness
More than 643,000 federal student loan borrowers are currently awaiting repayment plans or debt forgiveness, per a recent court filing. As of late March, 553,966 borrowers had pending requests for an income-driven repayment plan, while 89,720 sought answers regarding Public Service Loan Forgiveness (PSLF) buyback applications. The Biden administration's new buyback option is designed to aid borrowers in accelerating their path to forgiveness. Although the U.S. Department of Education made progress, processing reduced pending IDR applications to 576,600 as of February and forgiving 21,200 debts in March, challenges persist for borrowers seeking PSLF relief.
Read More: Over 643,000 federal student loan borrowers await plans or forgiveness