ED Approves Additional $4.5 Billion in Public Service Loan Forgiveness
By Maria Carrasco, NASFAA Staff Reporter
The Department of Education (ED) on Thursday announced that it approved an additional $4.5 billion in Public Service Loan Forgiveness (PSLF) to about 60,000 borrowers who work in public service, bringing the total number of PSLF recipients to over one million.
Earlier in 2021, ED first announced its plans to overhaul the PSLF program where “too few borrowers receive forgiveness.” According to ED, many borrowers under the previous PSLF program did not receive credit for years of payments they made because of “complicated eligibility rules, servicing errors or other technicalities.”
Part of ED’s efforts to overhaul the PSLF program was a one-time account adjustment waiver, which was available until October 31, 2022. According to ED, before the Biden administration took office, only 7,000 public servants had ever received debt relief through the PSLF program.
ED noted that as of July 1 this year, the PSLF program is fully managed by ED through StudentAid.gov, rather than by a loan servicer. According to the department, this will make it easier for borrowers to oversee PSLF since they can fully manage their progress through the StudentAid.gov website.
Along with today’s PSLF news, ED announced that it is partnering with several public sector unions to amplify and encourage borrowers to enroll in the PSLF program. These include the American Federation of Teachers (AFT), National Education Association (NEA), American Federation of State, County, and Municipal Employees (AFSCME), and the Service Employees International Union (SEIU).
The department released an updated list with a state-by-state breakdown of borrowers approved for PSLF since October 2021.
“Public service workers – teachers, nurses, firefighters, and more – are the bedrocks of our communities and our country,” President Joe Biden said in a statement. “They dedicate their careers to giving back to others, and were given the promise of student debt forgiveness after 10 years of public service and 10 years of payments under the Public Service Loan Forgiveness program. But for too long, the government failed to live up to its commitments, and only 7,000 people had ever received forgiveness under Public Service Loan Forgiveness before Vice President Harris and I took office.”
Publication Date: 10/17/2024
Jamaal Delasbour | 10/21/2024 2:18:46 PM
Greetings,
My name is Jamaal Delasbour, a struggling father of (8).. I’m currently unemployed and still facing student loan debt from as late as 2007.. I’m asking for my debt to be forgiven, I tried to make payments when afforded; yet, today’s economy has forbidden for quite some time now.. I haven’t reap the benefits of PPP loan(s) nor no other gov’t assistance program.. Again, to whom it may concern I’m asking to have my student loan’s FORGIVEN.. Respectively,
Jamaal Delasbour
You must be logged in to comment on this page.