{"id":1519,"date":"2021-07-26T17:09:50","date_gmt":"2021-07-26T21:09:50","guid":{"rendered":"https:\/\/www.skypointfcu.com\/wph\/workarea\/?p=1519"},"modified":"2022-06-15T11:41:05","modified_gmt":"2022-06-15T15:41:05","slug":"how-grads-can-get-another-shot-at-student-loan-forgiveness","status":"publish","type":"post","link":"https:\/\/www.skypointfcu.com\/wph\/workarea\/blog\/how-grads-can-get-another-shot-at-student-loan-forgiveness\/","title":{"rendered":"How Grads Can Get Another Shot at Student Loan Forgiveness"},"content":{"rendered":"\n

The Trump administration is giving student loan borrowers who missed out on public service loan forgiveness a second chance, and they should move now to prepare.<\/p>\n\n\n\n

The recently passed $1.3 trillion federal spending plan sets aside $350 million to forgive student debts owed by borrowers who met all the conditions needed to qualify for the Public Service Loan Forgiveness<\/a> program, but were mistakenly enrolled in the wrong repayment plan.<\/p>\n\n\n\n

Borrowers in PSLF must make 120 qualifying payments to get forgiveness on the remaining balance.<\/p>\n\n\n\n

Under the new budget law, borrowers who have made payments on a graduated or extended repayment plan have a chance to get relief through PSLF, even though payments made on those plans don\u2019t normally qualify.<\/p>\n\n\n\n

\u201cI think that this bill\u2019s language brings a significant benefit to borrowers,\u201d says Betsy Mayotte, president and founder of The Institute of Student Loan Advisors. \u201cCongress recognizes that the communication about the Public Service Loan Forgiveness program was not as robust and clear as it could have been.\u201d<\/p>\n\n\n\n

This expansion is available to borrowers on a first-come, first-served basis, so the money could run out.<\/p>\n\n\n\n

It\u2019s easy to make a mistake<\/strong><\/p>\n\n\n\n

Demand for PSLF is substantial, but many borrowers who expect to qualify aren\u2019t meeting the requirements. Of the 740,000 borrowers who had submitted at least some employment certification paperwork for loan forgiveness by September 2017, about a third had made no payments that qualified, the Department of Education says.<\/p>\n\n\n\n

Here\u2019s where they may have gone wrong, and what you should check if you want to apply for forgiveness.<\/p>\n\n\n\n

  1. Document that your employer qualifies<\/strong><\/li><\/ol>\n\n\n\n

    To be eligible for PSLF, you must work full-time for a qualifying employer while making the required 120 payments and document it with employment certification forms.<\/p>\n\n\n\n

    Qualified employers include:<\/p>\n\n\n\n