{"id":41535,"date":"2025-04-27T03:07:00","date_gmt":"2025-04-27T08:07:00","guid":{"rendered":"https:\/\/ustower.net\/?p=41535"},"modified":"2025-04-27T03:22:28","modified_gmt":"2025-04-27T08:22:28","slug":"what-student-loan-forgiveness-opportunities-still-remain-under-trump","status":"publish","type":"post","link":"https:\/\/ustower.net\/?p=41535","title":{"rendered":"What student loan forgiveness opportunities still remain under Trump"},"content":{"rendered":"\n

Under the Biden administration, the U.S. Department of Education made regular announcements<\/a> that it was forgiving student debt for thousands of people under various relief programs and repayment plans.<\/p>\n\n\n\n

That\u2019s changed under President Donald Trump<\/a>.<\/p>\n\n\n\n

In his first few months in office, Trump \u2014 who has long been critical of education debt cancellation \u2014 signed an executive order aimed at limiting eligibility for the popular Public Service Loan Forgiveness program<\/a>, and his Education Department revised some student loan repayment plans<\/a> to no longer conclude in debt erasure.<\/p>\n\n\n\n

\u201cYou have the administration trying to limit PSLF credits, and clear attacks on the income-based repayment with forgiveness options,\u201d said Malissa Giles, a consumer bankruptcy attorney in Virginia.<\/p>\n\n\n\n

The White House did not respond to CNBC\u2019s request for comment.<\/p>\n\n\n\n

Here\u2019s what to know about the current status of federal student loan forgiveness opportunities.<\/p>\n\n\n\n

The Biden administration\u2019s new student loan repayment plan, <\/strong>Saving on a Valuable Education, or SAVE, isn\u2019t expected to survive under Trump, experts say. A U.S. appeals court already blocked<\/a> the plan in<\/a> February after a GOP-led challenge to the program.<\/p>\n\n\n\n

SAVE came with two key provisions that lawsuits targeted: It had lower monthly payments than any other federal student loan repayment plan, and it led to quicker debt erasure for those with small balances.<\/p>\n\n\n\n

\u201cI personally think you will see SAVE dismantled through the courts or the administration,\u201d Giles said.<\/p>\n\n\n\n

But the Education Department under Trump is now arguing that the ruling by the 8th U.S. Circuit Court of Appeals required it to end the loan forgiveness under repayment plans beyond SAVE. As a result, the Pay As You Earn and Income-Contingent Repayment options no longer wipe debt away after a certain number of years.<\/p>\n\n\n\n

There\u2019s some good news: At least one repayment plan still leads to debt erasure, said higher education expert Mark Kantrowitz. That plan is called Income-Based Repayment.<\/p>\n\n\n\n

If a borrower enrolled in ICR or PAYE eventually switches to IBR, their previous payments made under the other plans will count toward loan forgiveness under IBR, as long as they meet the IBR\u2019s\u00a0other requirements<\/a>, Kantrowitz said. (Some borrowers may opt to take that strategy if they have a lower monthly bill under ICR or PAYE than they would on IBR.)<\/p>\n\n\n\n

Despite Trump<\/a>\u2019s executive order in March aimed at limiting eligibility for Public Service Loan Forgiveness<\/a>, the program remains intact. Any changes to the program would likely take months or longer to materialize, and may even need congressional approval, experts say.<\/p>\n\n\n\n

PSLF, which President George W. Bush signed into law in 2007, allows many not-for-profit and government employees to have their federal student loans canceled after 10 years of payments.<\/p>\n\n\n\n

What\u2019s more, any changes to PSLF can\u2019t be retroactive, consumer advocates say. That means that if you are currently working for or previously worked for an organization that the Trump administration later excludes from the program, you\u2019ll still get credit for that time \u2014 at least up until when the changes go into effect.<\/p>\n\n\n\n

For now, the language in the president\u2019s executive order was fairly vague. As a result, it remains unclear exactly which organizations will no longer be considered a qualifying employer under PSLF, experts said.<\/p>\n\n\n\n

However, in his first few months in office, Trump has targeted immigrants, transgender and nonbinary people<\/a> and those who work to increase diversity across the private and public sector. Many nonprofits work in these spaces, providing legal support or doing advocacy and education work.<\/p>\n\n\n\n

For now, those pursuing PSLF should print out a copy of their payment history on StudentAid.gov<\/a> or request one from their loan servicer. They should keep a record of the number of qualifying payments they\u2019ve made so far, said Jessica Thompson, senior vice president of The Institute for College Access & Success.<\/p>\n\n\n\n

\u201cWe urge borrowers to save all documentation of their payments, payment counts, and employer certifications to ensure they have any information that might be useful in the future,\u201d Thompson said.<\/p>\n\n\n\n

Federal student loan borrowers also remain entitled to a number of other student loan forgiveness opportunities.<\/p>\n\n\n\n

The Teacher Loan Forgiveness program<\/a> offers up to $17,500 in loan cancellation to those who\u2019ve worked full time for \u201ccomplete and consecutive academic years in a low-income school or educational service agency,\u201d among other requirements, according to the Education Department.<\/p>\n\n\n\n

(One thing to note: This program can\u2019t be combined with PSLF, and so borrowers should decide which avenue makes the most sense for them.)<\/p>\n\n\n\n

In less common circumstances, you may be eligible for a full discharge of your federal student loans under Borrower Defense<\/a> if your school closed while you were enrolled or if you were misled by your school or didn\u2019t receive a quality education.<\/p>\n\n\n\n

Borrowers may qualify for a Total and Permanent Disability<\/a> discharge if they suffer from a mental or physical disability that is severe and permanent and prevents them from working. Proof of the disability can come from a doctor, the Social Security Administration or the Department of Veterans Affairs.<\/p>\n\n\n\n

With the federal government rolling back student loan forgiveness measures, experts also recommend that borrowers explore the many state-level relief programs<\/a> available. The Institute of Student Loan Advisors has a database<\/a> of student loan forgiveness programs by state.<\/p>\n\n\n\n

nbcnews<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Under the Biden administration, the U.S. Department of Education made regular announcements that it was forgiving student debt for thousands of people under various relief programs and repayment plans. That\u2019s changed under President Donald Trump. In his first few months in office, Trump \u2014 who has long been critical of education debt cancellation \u2014 signed an executive order […]<\/p>\n","protected":false},"author":7,"featured_media":41536,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5781],"tags":[730,729,1643],"class_list":["post-41535","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-education","tag-loan","tag-student","tag-what"],"_links":{"self":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/41535","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=41535"}],"version-history":[{"count":1,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/41535\/revisions"}],"predecessor-version":[{"id":41537,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/41535\/revisions\/41537"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/media\/41536"}],"wp:attachment":[{"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=41535"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=41535"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=41535"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}