What is PSLF?
The Public Service Loan Forgiveness (PSLF) Program is a way for student loan borrowers who are employed in the public service field — including public education — to have their student loans forgiven. To qualify for this, “borrowers must make 120 payments on Direct Loans while working full-time in a position at a public service organization.”
PSLF is open to any Texas educators who work for a public or non-profit organization. By applying, AFT members could have the opportunity to have all of their student debt forgiven by the Department of Education. This is an amazing opportunity for members to take advantage of these programs and reclaim their personal finances and get out from under their debt.
Changes to the PSLF Requirements
AFT settled a landmark court case in October 2021 that set in motion significant, but temporary, changes to the eligibility requirements for Public Service Loan Forgiveness. Since that time, we have heard from hundreds of members who have had their entire loan balances wiped away thanks to our union’s efforts.
With these rules, you could have your entire debt balance forgiven, but you must apply before the end of 2023 to benefit from the temporary PSLF waiver and income-driven repayment readjustment. This now applies to Parent Plus Loan borrowers, but only for a limited time!
You can apply for PSLF even if you haven’t made 120 payments over 10 years, but this eligibility waiver ends Dec. 31, 2023. Even if you have only made some payments to qualify for PSLF, applying before the end of the year may move you significantly closer to achieving loan forgiveness because you may get additional credit for more payments and for periods of deferment or forbearance that exceed 12 months consecutively or 36 months total.
Don’t miss out. It’s crucial that if you want to opt into this program, that you apply immediately.
Learn more about the steps you should take on AFT’s website. You can also join one of AFT’s virtual Student Debt Clinics for members to learn more about how to address their student debt and find the most affordable options for borrowers.