A payment qualifies for the Public Service Loan Forgiveness (PSLF) Program if five things are true:
It was made after Oct. 1, 2007.
It was made under a qualifying repayment plan — IBR, ICR, PAYE, or REPAYE.
It was for the full amount due, as shown on the bill.
It was made within 15 days of the due date.
It was made while you were employed full-time for a qualifying employer.
While seemingly straightforward, these requirements tripped up thousands of borrowers. After dutifully paying on their student loan debt for years while working for a government or nonprofit employer, they would submit their PSLF application only to have it rejected because they didn’t have enough qualifying payments.
Congress created a fund to help borrowers with payment issues. But the Temporary Expanded Public Service Loan Forgiveness Program didn’t work. The TEPSLF application process was unnecessarily complex and filled with pitfalls that prevented deserving public servants from getting the relief they were promised.
Last year, the Biden administration took a flamethrower to the thickets blocking borrowers from accessing the PSLF Program. The Education Department will offer a temporary waiver to count any payment made after Oct. 1, 2007, while the student loan borrower was working in qualifying employment. As of this July, the Limited PSLF Waiver has led to 145 thousand borrowers getting $8.1 billion in forgiveness.
Keep reading to learn more about qualifying payments for PSLF.