Student-Loan ‘Forgiveness’: Answers to Common Questions

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Student-Loan ‘Forgiveness’: Answers to Common Questions
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Student-loan forgiveness offers borrowers a new window of opportunity, but you have to act quickly. Here are answers to some frequently asked questions.

The federal government’s Public Service Loan Forgiveness program, established in 2007, has been riddled with problems and complaints. The complex system has left many student-loan borrowers frustrated and surprised when they discover either that payments they’ve made don’t qualify for forgiveness or that they still have many payments to go before their loan forgiveness kicks in.

The Education Department responded by announcing in October a limited period in which borrowers may receive credit for payments that previously didn’t qualify for loan forgiveness. Still, the temporary regime is complicated and borrowers have lots of questions.

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