More borrowers are eligible for government service loan forgiveness



The U.S. Department of Education just released a report showing that 5.5% of borrowers who applied for public service loan forgiveness (PSLF) were eligible for forgiveness as of April 30, 2021, up from 3.9% as of as of November 30, 2020.

2.1% of government service loan forgiveness applications met the loan forgiveness criteria, and an additional 3.4% of applications met the temporary enhanced services loan forgiveness criteria (TEPSLF). To date, the PSLF and TEPSLF have disbursed $ 583 million in federal student loans.

The US Department of Education has redesigned the application process by merging the employment certificate form with the loan forgiveness application form. This eliminates the possibility of confusion between the two forms.

However, most applications that meet the certification requirements for employment are rejected due to non-payment of 120 qualifications.

  • More than 82% of rejected government service loan forgiveness applications have not yet been repaid within 120 months (10 years) of the application date. It is not possible to make 120 qualifying payments in less than 10 years.
  • Another 14% of applications were due within 10 years, but have not yet completed 120 qualifying payments.
  • The remaining 4% of rejected applications were paid over 10 years and worked for a suitable employer for 120 months, but had not yet met 120 eligible requirements.
  • Of the applications that met the TEPSLF criteria, 90% had made less than 120 eligible payments at the time of application. Some of them had periods of non-payment, such as deferrals, delays, and CARES deferrals.

The good news is that more borrowers will be eligible for PSLF in the future. 99.7% of recently submitted full Certificate of Employment (ECF) forms have been processed and meet the certificate of employment requirements.


A total of 1.25 million borrowers have verified their employment eligibility and received related payments. These borrowers owed a total of $ 124 billion in federal student loans.

Borrowers who have worked for the government and non-profit organization are approximately 60/40.


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