The Department of Education has expanded student loan forgiveness eligibility in April 2026, potentially benefiting an additional 2.1 million borrowers. Here's what changed and whether you qualify.
New SAVE Plan Adjustments
The SAVE income-driven repayment plan now forgives remaining balances after 20 years for undergraduate loans and 25 years for graduate loans. Monthly payments are capped at 5% of discretionary income for undergraduate borrowers.
Who Qualifies for Immediate Relief
- Borrowers who've made 20+ years of payments under any IDR plan
- Public service workers with 10+ years (PSLF)
- Borrowers from closed institutions (regardless of timeline)
- Those with total and permanent disability
Action Steps
Log into StudentAid.gov and check your loan status. If you believe you qualify, submit a PSLF application or IDR account adjustment request. Processing times are currently 60-90 days.
Don't wait — the application window for retroactive credit adjustments closes December 31, 2026.
