Upcoming Fixes to PSLF

According to NPR and their Department of Education source, PSLF will have a few changes coming up next week:

  1. Did you make payments on disqualified loans like FFEL loans? You can count it, for a limited time, if you apply for PSLF before Oct. 31, 2022.
  2. Did you make payments on the wrong payment plan? Regardless of whether the payment was made on time, for a limited time, you’ll be able to count it. Again, you would need to apply for PSLF before Oct. 31, 2022.
  3. Did you consolidate older loans into Direct Loans and previously certified your years of public service? You will get credit for payments made before consolidation. 
  4. Did you fail to certify those early FFEL payments? You can certify retroactively and receive credit for those early FFEL payments.
  5. Are you a military service member? You’ll be allowed to count toward PSLF all months spent on active duty, even if their loan payments were paused.

Long-term PSLF changes will include:

  1. Simplifying qualifying payments rules.
  2. Giving borrowers credit even if payments are late or made in installments.
  3. Giving borrowers credit for PSLF even if, under certain circumstances, their payments have been paused, such as for active-duty service members and borrowers facing economic hardships.
  4. Broadening the definition of public service.

We’ll keep you updated! The official news should come out next week.

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