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Public Service Loan Forgiveness and IDR plans

New Member

Public Service Loan Forgiveness and IDR plans

If one's income is low enough, the calculated payments under some income-driven plans will be $0. If that person qualifies for PSLF, do those $0 "payments" count towards the 120 required payments?

Message 1 of 9
8 REPLIES
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Regular Contributor

Re: Public Service Loan Forgiveness and IDR plans

Short answer is yes, they have as part of their Faq s . Basically if your on one of the plans that count for loan forgiveness then all payments of zero or higher count.
Message 2 of 9
Regular Contributor

Re: Public Service Loan Forgiveness and IDR plans

Good to know. I was not sure of this and wondered the same. I work in the school system and my loan is no longer in consolidation and wondered if $0 counted towards my forgiveness.

Score: EQ 609, EX 597, TU 614 (1/19/17) Current Score: EQ 682, EX 672, TU 673 (10/19/17)
Goal Score: 700+ across all 3--Gardening until November 2018
Message 3 of 9
Regular Contributor

Re: Public Service Loan Forgiveness and IDR plans

If you have been certified and have verification done. You can see the status of how many payments count towards FSLF.
Message 4 of 9
Regular Contributor

Re: Public Service Loan Forgiveness and IDR plans

Where can I see this information? Online with my lender?

Score: EQ 609, EX 597, TU 614 (1/19/17) Current Score: EQ 682, EX 672, TU 673 (10/19/17)
Goal Score: 700+ across all 3--Gardening until November 2018
Message 5 of 9
Valued Contributor

Re: Public Service Loan Forgiveness and IDR plans

I know a few people personally who were told they were under PSLF and worked a bunch of quarters (or years) only to find out they actually didn't qualify with their jobs.

 

Do a lot of ground work and get it in writing that your job qualifies, because it appears they're going back on it for some people.  A friend from high school moved out of state to get a job paying 50% of the job here, and she was told it qualified.  Then after 8 months (and an expensive move) she was informed that she didn't qualify. 

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Message 6 of 9
Regular Contributor

Re: Public Service Loan Forgiveness and IDR plans

That's interesting that they may not qualify only because under the forgiveness guidelines it says you can actually be a janitor working in a school and still qualify. I also receive messages from DOE to my school (work) email informing me that if I work for a govenment agency or non-profit then I am eligible. What I also noticed is I have not submitted the certification yet. So I will actually complete that today and update the process here.

Score: EQ 609, EX 597, TU 614 (1/19/17) Current Score: EQ 682, EX 672, TU 673 (10/19/17)
Goal Score: 700+ across all 3--Gardening until November 2018
Message 7 of 9
Member

Re: Public Service Loan Forgiveness and IDR plans

I think the biggest problem in all this is the loan servicer. Fedloan Servicing is known for giving misinformation and in some cases no information. I regularly request my qualifying payment count and they don't always add up! At the end of the day, it's the government that makes the decision if your job counts or not because you're not truly submitting the application to your servicer,  only the government when you're done. A lot of people are finding out now that it didn't really count. 

Stay on top of it with your servicer and get everything in writing. I would highly recommend signing up for IDR because the future of PSLF is in jeopardy and at least you will have some forgiveness if it gets scrapped. 

Message 8 of 9
Valued Member

Re: Public Service Loan Forgiveness and IDR plans

How do you get your servicer to record qualifing payments correctly? FedLoan Servicing claims I've only made 20 qualifying payments. I've paid the full payment monthly since consolidation in 2006, and have worked at the same high school since 2000. I have been unable to get them to give me an accurate reporting, or an explaination as to the discrepancy.


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Message 9 of 9