UACES Facebook Changes to student loan forgiveness program | Rules eased on student loan forgiveness policy
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Recent policy changes are making accommodations for federal student loan borrowers. More borrows may qualify for Public Service Loan Forgiveness. Payment deferment has been extended until January 31, 2022.

Changes to student loan forgiveness program

by Laura Hendrix - October 7, 2021

New rules recently went into effect for Public Service Loan Forgiveness (PSLF).  In the past, it has sometimes been difficult to qualify but for a limited time, credit may be given for past payments. Borrowers must work a combined average of at least 30 hours per week in government, 501(c)(3) not-for-profit, or other not-for-profit organization that provides a qualifying service. Federal loans must be Direct or Direct Consolidation. Federal Family Education Loan (FFEL) Program loans, Federal Perkins Loans, or other types of federal student loans that are not Direct Loans, must be consolidated into the Direct Loan program by Oct. 31, 2022. Past ineligible loan payments may now count toward the 120 required total payments.

The Coronavirus Aid, Relief and Economic Security (CARES) Act granted forbearance to federal student loan borrowers beginning in March of 2020 and the extended to January 31, 2022. Borrowers may continue to make payments but are not required to do so. Interest does not accrue, and previous interest owed will not be added to the principal. For all federal student loan borrowers, payment is paused until January 31, 2022.  Private loans may not be eligible. Be sure to update your contact information with your loan service and in  Now is a good time to plan for payments in 2022.  Include the payment amount in your monthly spending plan. Based on income and family size, an income-driven repayment (IDR) plan may be available. Auto-debit, auto-draft or other payment information should be confirmed and updated as needed.

For more details about Public Service Loan Forgiveness, payment deferment, and other student loan repayment questions; visit

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