Public Service Loan Forgiveness (PSLF) EXPLAINED!

Public Service Loan Forgiveness or PSLF recently went through a program facelift. For borrowers who work in the public sector and have federal student loans, you might consider PSLF!

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[phoenixstar]

The main issue with the pslf program is the whole working full time thing. (They could've allowed part time public service worker qualify especially during the pandemic)

[shengperson]

Yes. I am a nurse practitioner. I have over $140, 000 in student loan debt. Over 10 years, I would pay off around 60, 000 and the remaining, plus interest, would be forgiven. That’s worth it.

[electricpenguin]

So glad they fixed this program, it was nearly impossible before with all the rules about starting over, being on the wrong plan, etc.

[dieterh.]

Yes. Over ten years, I would pay less than 40% on the balance if I were to accelerate per month. The monthly difference can be invested.

[phoenixstar]

They could've had full time public service workers only make 60 payments (5 years) while part time workers make 120 payments (10 years).

[ajaymunhoo]

My wife was in deferrment before covid. And we just started making payments in October when interest began accruing again. Would the covid period still be counted as payments toward PSLF? Thank you.

[iwona]

Does there have to be a continuity of the payments with the qualifying employer? Lets say you made 80 qualifying payments, then you changed an employer to private sector for 20 payment cycles, then you went back to a qualifying employer and continued making payments. I suppose they would continue counting the payments once you restart with a qualifying employer?

[samanthaadams]

Yes! So thankful for the changes. I told my husband he has to stay in public service for the next 5 years. 😂

[nutritionallee]

I am currently on PSLF. I have over 100k in debt and that is almost double my annual salary so if it works, it’ll be wonderful, but I’m worried changes will be made in the future that will “screw me” out of it.

[showmethefacts]

I have been going to school on and off since 2013. Currently, I have served 8 years in the military, I am wondering if in the next two years, I would be able to apply for the PSLF. Is there anything I should be doing now?
I heard you mention applying annually so I will begin that now.

[titosmiff]

My wife is going through medical school and we are able to pay cash as we go but I am wondering if it's worth it. Tuition is 160, but we could have taken out 240 in loans with living expenses and had that forgiven. The only issue is over 10 years we would have repaid 230k in loans. I'm wondering if we made the right choice. We could have just taken out the loans and we would have about 200k in cash in our pockets and not have to save money every month to pay for school.

[larebelahi]

I’m not sure if anyone can help me with my question. I have been working with non profit for a little of a year now. I have not payed any debt yet but will my payments count toward a pslf if I payed for the full 12 months I missed? Please let me know if anyone knows the answer to this. I feel like I wasted a year of not paying toward it but was struggling with COVID and expenses.

[Saleeejdbidn]

Does the employer sign the form once only? Or do I need to submit a form every year for employer signature?

[ajaymunhoo]

How do you certify that you were with a qualifying employer if you have switched employers and have never filed for PSLF waiver yet ?

[celestialspartan]

I just signed up for it. Now I’m wondering how long it normally takes for someone to get the word on if they’re accepted or not.

[rhondapetsch]

Still so confused. I think I just need to call Aidvantage to see what, if any options I have. Worked for a non-profit for close to 10 years bit consolidated my loans during this time. Also no longer work in the nonprofit sector. Standard repayment. Been paying for super close to 10 years. No one has mentioned any forgiveness beyond 10 years on this plan.

[digital_]

I really cannot see how PSLF benefits anyone who doesn’t owe more than 20-30k. I owe about 20k and if I pay my minimum each month, at the end of the 120 payments, I will have paid off the loan anyway. Does this sound right to anyone? How does this benefit people like myself? 🤔

[msk]

This program is disgusting and unfair to the others not working in a public service. A loan is a contract that you signed where you agreed to accept X amount of money under the agreement that you would pay it back per terms outlined within loan agreement. Why should any of you not have to pay this back?

[HappyHappy-sqij]

I’d never bet my financial future on the government. Too many “ifs” involved.

[caseywatson]

My PSLF went through last week. If you qualify you better do it now before the mango moron fully dismantles the DOE. Once that happens, even though PSLF is law, no one will be around to process your paperwork.