Public Service Loan Forgiveness Gets Major Overhaul

In a huge win for educators and other public service workers, the Biden administration this week announced a much-needed overhaul of the broken Public Service Loan Forgiveness (PSLF) program.

 

Unions have been pushing hard for the changes, which are expected to help more than half a million borrowers move closer to loan forgiveness. The U.S. Department of Education estimates 22,000 borrowers will become immediately eligible to have their loans erased automatically — and another 27,000 borrowers previously declared ineligible could see their debts disappear if they submit employer information.

 

The PSLF program is infamous for denying student loan forgiveness to thousands of public servants, dismissing applications due to administrative errors and other technicalities. Unions have filed lawsuits and fiercely advocated to force the federal government to fix the problems and fulfill the bipartisan promise of public service loan forgiveness.