Thousands of Public Servants Face Student Loan Forgiveness Delays as 120-Payment Rule Snags Borrowers
Updated
Updated · The Washington Post · Oct 5
Thousands of Public Servants Face Student Loan Forgiveness Delays as 120-Payment Rule Snags Borrowers
1 articles · Updated · The Washington Post · Oct 5
Summary
$137,000 in debt remains on hold for New York psychologist Brady Berman even after 10 years of public service, illustrating how thousands of borrowers are stuck waiting for Public Service Loan Forgiveness.
Staffing cuts and a surge in applications have bogged down a federal program meant to help borrowers catch up on payments and move toward forgiveness.
The backlog has been compounded by court fights over the Saving on a Valuable Education repayment plan, which pushed some loans into forbearance and left borrowers short of the required 120 qualifying payments.
For public servants nearing the finish line, the delays mean years of qualifying work still may not translate into immediate debt cancellation.