![]() If you still have a loan balance after debt relief, your remaining balance will be used to recalculate your monthly payments. Your loan servicer will notify you when and how the relief has been applied. How will I know when I receive debt relief? Though the application will initially be available online, those who apply in 2023 will have access to a paper version of the form. The deadline to apply for student loan debt forgiveness is over a year from now, on December 21, 2023. The Department of Education will continue to process applications as they are received after the expiration. To ensure you receive a confirmation email of your application, log in to your Student Aid account and make sure your most current email address is listed under your contact information.Īpplicants are encouraged to file before November 15 th to receive relief before the payment pause expires at the end of 2022. After the application is completed, borrowers can expect relief within 4-6 weeks. You can sign up to be notified through the Department of Education subscription page. In early October, a simple online application to collect borrowers’ income data will become available. If you do not receive such news, you may have to apply yourself. You do not have to take any further action. If you automatically qualify for debt relief, you will receive an email/text message confirming your eligibility. However, it is important to stay on top of your eligibility to make sure you don’t miss the application window. Department of Education has the income data for nearly 8 million eligible borrowers. How do I apply for student loan forgiveness? had a joint/household income of less than $250,000 in 2020 or 2021.had an individual income of less than $125,000 in 2020 or 2021.Image obtained through the To qualify, borrowers must have: Which loans are eligible for forgiveness? If your debt is less than the amount of relief you are eligible for ($10,000 and $20,000 respectively), you will receive the exact amount you owe. The amount of relief you receive will be capped at the amount of outstanding debt due. Borrowers can check whether they have received a Pell Grant through the Student Aid website, under the page “My Aid” on the account dashboard. ![]() Department of Education is providing debt cancellation of up to $20,000 for Pell Grant recipients with loans held by the Department of Education, and up to $10,000 in debt cancellation to non-Pell Grant recipients. Here are the answers to some of the most common questions about student loan forgiveness.Īm I eligible for student loan forgiveness? How much can I receive? If you qualify for loan forgiveness, you could receive relief before 2023. Student loan payments can be deferred until December 31, 2022. In the month since, more information has been provided to explain who qualifies and how to claim relief. On August 24, 2022, the 46 th Administration officially announced a final extension to student loan payments and forgiveness for federal student loan debt of up to $20,000.
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