Categories: News

How should student loan borrowers prepare before Donald Trump takes over the presidency?

PSLF, enacted under President George W. Bush in 2007, is protected by federal law and would require an act of Congress to repeal.

Experts have suggested several actions that borrowers can take now to stay ahead of changes.

What to know before the transition

With the Biden administration’s student loan forgiveness plans already withdrawn and the future of the SAVE plan uncertain, borrowers need to prepare for what’s ahead.

In light of the uncertainty surrounding the SAVE plan, borrowers still have access to other affordable repayment options, such as the Pay As You Earn (PAYE) and Income-Contingent Repayment (ICR) plans.

One key program that’s not expected to disappear is the Public Service Loan Forgiveness (PSLF) program, which has long helped federal employees and certain nonprofit workers reduce or eliminate their student loans after ten years of qualifying payments.

These income-driven repayment plans adjust borrowers’ monthly payments based on their income and family size, providing some relief for those struggling financially. Both plans offer a path to loan forgiveness after a certain period of time, and they will remain available for enrollment until at least July 1, 2027.

source

Donna Wilson

Share
Published by
Donna Wilson

Recent Posts

Cash Isa battle sees Trading 212 hike best rate TWICE in one week – how to bag 5.1%

Trailing Trading 212*, Plum* and Moneybox are Monument Bank and Mansfield Building Society which are…

3 weeks ago

Will Howard’s girlfriend in tears after QB’s game-sealing pass in Ohio State’s national championship win

Howard proved to be clutch down the stretch and led the Buckeyes to their first…

3 weeks ago

Saving lives and limbs on the high seas: The extraordinary world of early modern ship’s surgeons

Psychological distress The challenges and risks of life at sea were not just physical but…

3 weeks ago

Walmart facing backlash over DEI policy reversal as shareholders, Dem officials urge them to reconsider

McDonald’s, Amazon, Meta and American Airlines have also since announced a change to their DEI…

3 weeks ago

The long road ahead to rebuild life in Gaza

What about the economy?The conflict has also had a "devastating impact" on Gaza's economy, said…

3 weeks ago

Mike McCarthy latest after Dallas Cowboys exit as NFL team ‘rolls out red carpet’ for Super Bowl champion coach

The Bears have so far confirmed that they have interviewed 17 candidates to be their…

3 weeks ago