The Department of Education has paused certain types of student loan forgiveness programs amid “system updates,” causing confusion among borrowers. The Public Service Loan Forgiveness (PSLF) program continues to process applications, while Income-Based Repayment (IBR)-related forgiveness is temporarily halted. However, SAVE, PAYE, and ICR-based loan forgiveness are blocked by court orders.
Here’s a breakdown of the current status:
– PSLF: Processing applications and discharging balances for eligible borrowers.
– IBR: Temporarily paused due to “system updates” but not due to a court order.
– SAVE, PAYE, and ICR: Blocked by federal injunctions, with borrowers advised to switch to IBR or wait for policy changes.
The Department of Education is working on resolving the issues, but borrowers are facing uncertainty. The recent changes to income-driven repayment plans have added complexity to the situation.
Borrowers can check their loan status online or contact the Department of Education for assistance. The administration has reiterated its commitment to providing loan forgiveness for eligible borrowers, but the delays and legal challenges are causing frustration among those seeking relief.
Source: https://thecollegeinvestor.com/61422/is-student-loan-forgiveness-processing-paused