How To Get A Student Loan Forgiveness Even If You Are Rejected

Here’s how to get a student loan forgiveness even if you’re rejected.

Here’s what you need to know.

Student loans

President Joe Biden, along with the US Department of Education, granted $ 4.5 billion in student loan cancellations this month thanks to a major overhaul of the civil service loan cancellation program . If you’ve been rejected for a student loan forgiveness, aren’t sure if you qualify for a student loan forgiveness, or if you’re curious if you can get a student loan forgiveness now, be careful. This could mean the difference between no student loan forgiveness and total federal student loan cancellation.


Student loan cancellation: the changes

The major changes to the student loan exemption help correct these major issues, including:

  • what student loan payments count towards the cancellation of the student loan;
  • who types of student loans should count towards the cancellation of the student loan;
  • which employers be eligible for a student loan discount; and
  • when student loan payments start counting towards your student loan forgiveness.

These four issues help remove the major barriers that have kept tens of thousands of student loan borrowers from getting their student loan forgiveness. To be eligible for the student loan exemption through the Public Service Loan Exemption, student loan borrowers must work full-time (at least 30 hours per week) for a qualified public service or professional employer. nonprofit, enroll in a qualified student loan repayment plan, make 120 monthly student loan payments, and make at least the majority of those student loan payments while enrolled in an income-oriented repayment plan. (Student loan cancellation won’t be available to everyone, but this plan is available now). Prior to these changes, the program had a rejection rate of 98%. Even with 10 years of skilled public service employment, many student loan borrowers were unable to get their student loan waiver that they thought they had promised. (Here’s how to get a student loan discount).


Student Loans: Who Can Get This Student Loan Discount

Any federal student loan borrower who meets the requirements of the public service loan forgiveness program can have their federal student loan fully canceled. With these major changes, student loan borrowers who have already been turned down for a student loan forgiveness will have the opportunity to qualify (assuming they meet the other requirements). Here are at least some of the student loan borrowers who are now eligible for student loan forgiveness and whose student loan payment matters:

  • Student loan borrowers who have made student loan payments in the past but were not counted correctly;
  • Student loan borrowers who have made student loan payments for FFELP loans and Perkins loans;
  • Student loan borrowers who have used an ineligible student loan repayment plan;
  • Student loan borrowers who made student loan payments prior to the consolidation of student loans into a direct consolidation loan;
  • Student loan borrowers who were on active duty in the military, even if their student loan payments were on temporary student loan forbearance or student loan deferral;
  • Student loan borrowers who have made late student loan payments;
  • Student loan borrowers who made student loan payments that were partial or greater than the required student loan payment amount and whose student loan payment was rejected or was not counted correctly; and
  • Student loan borrowers who have been granted temporary student loan forbearance through student loan relief due to the Covid-19 pandemic.

Student loan exemption: how to get it and how to apply for it

The US Department of Education has created a simple way for student loan borrowers to get their student loan forgiveness if you’ve already been rejected.

How to apply for a student loan forgiveness

To count past student loan payments, you will need to apply for a limited waiver. The good news is, you have about a year to apply. You can request the limited waiver for student loan forgiveness until October 31, 2022.

How to appeal your student loan forgiveness decision

What if you are rejected for a student loan forgiveness? Now the Department of Education will give you a second chance. Part of these major changes to the student loan exemption is the creation of a formal process for student loan borrowers whose student loan waivers are denied to appeal their decision and correct any errors. This will reduce bureaucratic hurdles and give more student loan borrowers a chance to cancel their student loans.


Student loans: next steps

Biden is focused on expanding who is eligible for student loan cancellation. (Biden canceled $ 11.5 billion in student loans, but here’s what that means for student loan cancellation). These changes to the cancellation of student loans came shortly after the surprise announcement that Navient would stop managing federal student loans. (Here’s why Navient abandoned your student loans). Biden and Education Secretary Miguel Cardona are focused on improving student loan cancellation and simplifying student loan repayments so more student loan borrowers can get financial relief. Canceling student loans has also become a priority in Congress, even though Congress has not passed any law on large-scale student loan cancellation. This week, Cardona also confirmed in a town hall that a large-scale student loan forgiveness is still possible as discussions within the Biden administration are ongoing.

Whether you are looking to get student loan forgiveness, make sure you understand all of your student loan repayment options. With the expiration of student loan relief, go ahead now. Here are some popular ways to save money with your student loans:


Student loans: related reading

Biden canceled $ 11.5 billion in student loans, but here’s what that means for student loan cancellation

Student loan cancellation will not be available to these borrowers

Major changes to student loan forgiveness could come this week

How to get a student loan forgiveness

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