How Strong Is the State of the Student Loan Repayment System?
WASHINGTON, March 6, 2024 /PRNewswire/ --The following is provided by Brian Denten, an officer and Ilan Levine, a senior associate with The Pew Charitable Trusts' student loan initiative.
- The last year has brought several changes for federal student loan borrowers, including options that are helping those feeling a financial burden get on a path to successful repayment.
- Last August, the Biden administration launched an income-driven repayment (IDR) plan known as Saving on a Valuable Education (SAVE).
- The administration also implemented a limited-time program called Fresh Start for borrowers who missed payments for at least 270 days—those in default status.
- The ability to make $0 payments while staying current on loan repayment helps limit financial burdens.