Wow, thank you so much for this in-depth analysis and Q&A. I learned so much and you helped me decide on what my plan moving forward is going to be! Thank you for putting this video together and taking the time to do something like this without having to charge people for advice and what not; I really do appreciate it and I’m sure a lot of other people do too. 💯👏👏
Stupid question here: when we say 20/25 years, can we run out the clock or is it a certain number of payments within that timeframe we have to meet. Thanks in advance
Thank You. What about the new administration getting rid of the Department of Education? How will this affect for those in PSLF in getting updated payment counts if going back on IBR or getting student loans forgiven after reaching 120 payments?
Hi Travis! Thank you so much for posting this video, even while sleep-deprived! I sent an application to my servicer on September 6 to switch to IBR from SAVE (in anticipation of SAVE no longer existing, and to make sure my payments would count towards PSLF), but my servicer told me that they're not processing applications for income-based repayment plans until they "hear back from the Biden administration" about how they'll be moving forward with these payment plans. I was curious -- is this something that other people are also hearing from their servicers? Is everyone being left on SAVE indefinitely until servicers are clear on how to move forward? My loan servicer is Aidvantage.
Not sure if I am understanding this correctly but: The advice for people seeking PSLF who are on the SAVE Plan to switch to IBR is contingent upon not being eligible for the PSLF buy-back (i.e. by having the 120 months) within the time-frame for the regulations to be repealed and replaced, is that correct? For example, if you are eligible for the buy-back in March, you may want to stay on SAVE forbearance right now and attempt the buy back in March, before the buy-back regulation is repealed. But if you are eligible for buy-back in, say, June, you may want to change to IBR because buy-back may be repealed by then. Obviously, this is dependent on WHEN and IF buy-back is repealed, which is just an educated guess. And if you guess wrong, you may lose a few months of potential payments at a likely lower income level. Am I understanding that correctly, or missing something?
You are 100% correct. I am SO skeptical about this advice. Yes, I 100% believe that SAVE is dead. However, more than likely, he will reverse everyone to their prior plan. For many of us, that would be REPAYE, which is much cheaper than old IBR and still meets Trump's initiative to make people pay their loans and interest again. He is looking for an easy win. PSLF reversal/removal would need an act of Congress. No way that will take place in 6 months and PSLF is vastly used by Government and essential workers. It's a popular plan. In the event that PSLF is completely gone (extremely unlikely) you have now voluntarily signed on to pay MORE. Plus, there is absolutely no guarantee that you'll be able to do buyback, or be able to do buyback at the SAVE rate. At this point, I am holding because I refuse to give Government more money. If I have to pay such a high amount, I might as well refinance my loans and get off of the PSLF train where I can at least control my interest rates.
Sorry if I missed when you mentioned federal taxes on forgiven loans. Are parent plus loans dismissed due to disability likely to be federally taxed after the 5 yr wait period is over ?
It's a numbers game. You make $75000 a year, after taxes your money is $50,000 a year if you cheat on taxes. That's like $4,000 a month. My rent in NYC is $2.500. How I pay $1,000 a month on my Student Loan, I can't. I need a GOFUNDME.
I’m in PSLF and in SAVE forbearance, with 41 payments left. What should I do? I was told I could apply for another payment plan, but that they were not processing any new applications. I wanted to switch to IBR, but was told I couldn’t right now, and to wait it out. Do you think that they will move those stuck in the SAVE forebearance to IBR automatically? Again, I was told I could apply, but nothing would happen. UPDATE: The Department Of Education just told me that the IBR repayment plan is also one of those being challenged in court, contrary to what I’ve been hearing in these videos, so now I’m not sure what to do or what to believe.
@Vanya2519 I don't think that Old IBR/New IBR is under threat. Others have been able to switch to it. IBR has congressional protections and state that forgiveness is part of the plan.
Can the poverty lines be changed? When you using the calculators what is considered family size? (Those who live with you? Or those you put on your taxes? )
Can I still do the double consolidation loophole if I have two loans currently in Aidvantage? Now that Nelnet doesnt do consolidations anymore.. if I send one to Mohela and the other to Ed financial, wouldn’t I need to send the second consolidation back to Aidvantage?
I've been on Save forbearance while working a government job towards forgiveness. But that was a mistake? Because Save plan doesn't count towards the 10 years of service? So I should have been on IBR this whole time if I'm expecting forgiveness after 10 years of public service?
I'm so stressed! Advice? Hope? Shared misery? I have over 200K in student loans with a poor income to debt ratio as a professor. I had to submit an update to one of my PSLF job forms, and it's still processing. I have no idea how many months of PSLF I should have at this point. Mohela automatically received my loans from Advantage when I consolidated. Mohela hasn't processed me into either the SAVE or an IDR plan. I've been waiting since April 2024. 😩 Mohela keeps saying they aren't going to process anything before at least the next 90 days. This makes me feel paralyzed because they're literally saying everything is on a freeze. It sounds like Trump will be in office before they do ANYTHING in my account. Advice? Hope? Are some of us just screwed?
🤔 I'm in this same student loan boat. My original loan was managed by Mohela on the IDR program. But I tried to fill out the PSLF, since my work supports military & nonprofit organizations, my form was transferred to the department of education. I've been freezing since the PLAN-demic. The only thing we can do is wait until they fix this broken system. Now Trump just announced the Department of Education is closing down 😱 the best we can do is not worry & let them blow everything up 🏆
@@rationalirrationality5691fyi; most of us were hit by higher interest rates, not expecting to be fed to the sharks. Corrupted systems trolled the students as ginnepigs to figure out which system would work best for the government. Most students suffered the consequences 😔 We are ALL still here, doing our best to survive the corrupted ways.
@@rationalirrationality5691I didn't take out 200k. Nearly half of that is compounding interest & penalities after many years. That's the beast many of us are trying to slay. My husband (now passed away) did a horrible job managing these things.
@@DSILVAjeiyHa! "PLAN-demic" is perfect. I guess I'll just sit back & watch this blow up with everyone else! 😎 It's frustrating that these videos keep saying to switch to another IBR. Mohela is very clear that they aren't processing anything right now. And I'd rather the DOE focus on uploading our months toward loan forgiveness.
When I try to change my plan to IBR, the last "Continue" button in the form doesn't do anything. Tried it with different browsers, different computers, but it never works to actually submit it. Is that happening to anyone else?
If I've been on PAYE for 10 years and it goes away and I don't qualify for IBR financial hardship do I just start a standard 10 year plan from scratch?
I consolidated and applied for save in june and they couldn't process my application after 60 days so now im in forebearance at zero percent interest. The loan is huge and has already grown up to 420 k as nd climbin with 2600 monthly payments I can not even pay the interest Should i stay on the forebearance so it doesn't grow anymore or what program can i get on so it stops growing. Its grown from 350k to 420 k and i have not been able to work
I have a question and i've been trolling reddit and unsure but: if i am at 117 before the forbearance not counting, and I am not eligible for IBR and there is no other plan after the court case; do my UNCONSOLIDATED loans qualify for PSLF if I switch to the 10 Year Standard Repayment for the remaining three payments? Thank you!
Well, what really sucks is I’m on save, but only eligible for old IBR.. if save wasn’t paused I was due for forgiveness in Jan 2025. But now I have to go to old ibr and pay another 5 years.. 0 income 0 payments and will have huge tax bomb in the future. No income .. make it make sense!!
When thinking about a person’s discretionary income, are your living expenses (rent food medical credit card payments car payments) included, or counted, before they determine what you have left over that is discretionary for repayment of the loan?
Does consolidation reset the date for being considered a New IBR vs an Old IBR qualified borrower? I need to switch anyway since SAVE is going away with the Trump administration, but I'm trying to figure out how much my bill will be. I definitely took out loans WAY before 2014. But I recently consolidated with the masses when we were being ushered toward the SAVE plan. I'm a PSLF person with over 200K in loans. 😩
I was granted borrower defense discharge on a portion of my loans, but the credit is not yet reflected in my balance. Do you think there is a risk this will not go through, or be reversed?
I filed for bankruptcy in July and in September we filed an adversary proceeding to try to get my student loans discharged. My lawyer just submitted the attestation last week. She said we have to wait four months to hear back from the department of education. Do you think my chances to win the case are over? I was really hoping to get my student loans discharged or at least reduced by a good amount. 😢
@ you have to file bankruptcy and then file an adversary proceeding against the department of education while your bankruptcy case is open. You have to meet an “undue hardship” test. But the Biden administration made it easier to do it, many people have been successful with their discharges. I hope my case isn’t affected by Trump.
Thank you. I was on the phone today with Mohella and Dept of Ed. My PSLF application was canceled bc my adjunct teaching (11 courses and 5 colleges each semester) no longer counts towards FT qualifications. Only a few years ago it did. I guess the rules changed. Meanwhile, I could reapply for IDR, but that's on hold for a minute or month or.... Crazy stuff.
I took my first loan in fall of 2013. If I was able to pay that off and all my loans are in 2014 or later are you saying I’d be eligible for new ibr? (Basing this question off your comments at 1:06:00
If you borrowed before July 1, 2014, those loans would have needed to be completely paid off before taking out new loans after July 1, 2014 to be considered a "new borrower" for New IBR eligibility. That is, you needed to have no outstanding federal student loans by July 1, 2014 to be eligible for New IBR on loans taken out after July 1, 2014.
I’m in a processing forbearance with mohela. I applied to save plan but never got on it and have been in limbo. One mohela rep said it will count towards my pslf while in this type of forbearance is this true?
“Servicers may put borrowers into processing forbearance for up to 60 days while they process an IDR application. Interest accrues during this time, and the time counts toward PSLF.” I found this on federal student aid.gov
Thank you! It is very hard to find information anywhere. I consolidated 30 year old graduate school FFEL loans into a federal loan which is currently in standard repayment. (I was told standard would count towards forgiveness but it doesn’t seem that’s the case?) I have 300 months of payments counted but don’t qualify for IBR (although I could have, if I’d known…). Should I try to apply for ICR asap? (I believe applications are paused.) Or is all hope lost?
What about the people who got art institute loans forgiven email May 1st I got one they put me in admin forbearance since then and I’m still waiting for it to be done when I call they never know anything at mohela
We got pulled into this loan forgiveness for our school loan without our concent. It's been frozen for a year not allowing us to pay. Now it looks like the loan payment will be over $1k a month. A teachers salary with a loan payment that high is life altering.
He can't just do what he wants. Does he have less blockage this time? Sure. But he still has to work with Congress, and even if Congress is flipped, there are many Republicans who do not approve of him. I am not defending Trump, but keep in mind that this is the same man who approved student loan moratorium with interest rate removal AND forgiveness count during Covid. If he did what he wanted to do, then we would have all had to pay regardless of the pandemic.
You will need to understand that's not the way it works and complain somewhere else.... Seriously, if you can't figure out this stuff, go away. No one needs ten thousand repetitions of the same sentiment. We know you hate people with an education. Give it a rest.
They are but there has been so much mismanagement with processing and backlogs. The borrowers need accurate billing and being able to reach their lender.
Wow, thank you so much for this in-depth analysis and Q&A. I learned so much and you helped me decide on what my plan moving forward is going to be! Thank you for putting this video together and taking the time to do something like this without having to charge people for advice and what not; I really do appreciate it and I’m sure a lot of other people do too. 💯👏👏
Do you have any videos talking to people who are in a different type of financial situation, for example people who make less than $75,000 a year.
Stupid question here: when we say 20/25 years, can we run out the clock or is it a certain number of payments within that timeframe we have to meet. Thanks in advance
I'm 80, on the Income based plan...limited income, no payment on certification... concerned.
Thank You. What about the new administration getting rid of the Department of Education? How will this affect for those in PSLF in getting updated payment counts if going back on IBR or getting student loans forgiven after reaching 120 payments?
Hi Travis! Thank you so much for posting this video, even while sleep-deprived! I sent an application to my servicer on September 6 to switch to IBR from SAVE (in anticipation of SAVE no longer existing, and to make sure my payments would count towards PSLF), but my servicer told me that they're not processing applications for income-based repayment plans until they "hear back from the Biden administration" about how they'll be moving forward with these payment plans. I was curious -- is this something that other people are also hearing from their servicers? Is everyone being left on SAVE indefinitely until servicers are clear on how to move forward? My loan servicer is Aidvantage.
I think parents will start having to pay for their children's elementary, middle school and high school education.
So are you saying leave the SAVE PLAN now?
So basically this is going to cost me about 200k in interest over the life of my loan. This sounds excellent for the economy 😒
Excellent for the bank's economy
Not sure if I am understanding this correctly but: The advice for people seeking PSLF who are on the SAVE Plan to switch to IBR is contingent upon not being eligible for the PSLF buy-back (i.e. by having the 120 months) within the time-frame for the regulations to be repealed and replaced, is that correct? For example, if you are eligible for the buy-back in March, you may want to stay on SAVE forbearance right now and attempt the buy back in March, before the buy-back regulation is repealed. But if you are eligible for buy-back in, say, June, you may want to change to IBR because buy-back may be repealed by then. Obviously, this is dependent on WHEN and IF buy-back is repealed, which is just an educated guess. And if you guess wrong, you may lose a few months of potential payments at a likely lower income level. Am I understanding that correctly, or missing something?
You are 100% correct.
I am SO skeptical about this advice. Yes, I 100% believe that SAVE is dead. However, more than likely, he will reverse everyone to their prior plan. For many of us, that would be REPAYE, which is much cheaper than old IBR and still meets Trump's initiative to make people pay their loans and interest again. He is looking for an easy win.
PSLF reversal/removal would need an act of Congress. No way that will take place in 6 months and PSLF is vastly used by Government and essential workers. It's a popular plan.
In the event that PSLF is completely gone (extremely unlikely) you have now voluntarily signed on to pay MORE. Plus, there is absolutely no guarantee that you'll be able to do buyback, or be able to do buyback at the SAVE rate.
At this point, I am holding because I refuse to give Government more money. If I have to pay such a high amount, I might as well refinance my loans and get off of the PSLF train where I can at least control my interest rates.
Sorry if I missed when you mentioned federal taxes on forgiven loans. Are parent plus loans dismissed due to disability likely to be federally taxed after the 5 yr wait period is over ?
Thank you !!
Thanks Travis!
It's a numbers game. You make $75000 a year, after taxes your money is $50,000 a year if you cheat on taxes. That's like $4,000 a month. My rent in NYC is $2.500. How I pay $1,000 a month on my Student Loan, I can't. I need a GOFUNDME.
I’m in PSLF and in SAVE forbearance, with 41 payments left. What should I do? I was told I could apply for another payment plan, but that they were not processing any new applications. I wanted to switch to IBR, but was told I couldn’t right now, and to wait it out. Do you think that they will move those stuck in the SAVE forebearance to IBR automatically? Again, I was told I could apply, but nothing would happen.
UPDATE: The Department Of Education just told me that the IBR repayment plan is also one of those being challenged in court, contrary to what I’ve been hearing in these videos, so now I’m not sure what to do or what to believe.
Hold. I am doing the same.
Oh. My. Goodness. Now we may not be able to get on an IBR plan at all?! 😩
@Vanya2519 I don't think that Old IBR/New IBR is under threat. Others have been able to switch to it. IBR has congressional protections and state that forgiveness is part of the plan.
Travis, I am joining late. Will you recap what you discussed tonight in an email? I am truly worried about my daughter's PSLF plan.
Are we able to switch from SAVE plan back to PAYE plan?
Currently in forbearance under SAVE but have less than 2 years left of payments...
I hope to finish repaying in July 2025. I think that we should wait to see what the Department of Education says.
Can the poverty lines be changed?
When you using the calculators what is considered family size? (Those who live with you? Or those you put on your taxes? )
Can I still do the double consolidation loophole if I have two loans currently in Aidvantage? Now that Nelnet doesnt do consolidations anymore.. if I send one to Mohela and the other to Ed financial, wouldn’t I need to send the second consolidation back to Aidvantage?
I’m in the midst of the double consolation loophole also.
I've been on Save forbearance while working a government job towards forgiveness. But that was a mistake? Because Save plan doesn't count towards the 10 years of service? So I should have been on IBR this whole time if I'm expecting forgiveness after 10 years of public service?
I'm so stressed! Advice? Hope? Shared misery? I have over 200K in student loans with a poor income to debt ratio as a professor. I had to submit an update to one of my PSLF job forms, and it's still processing. I have no idea how many months of PSLF I should have at this point. Mohela automatically received my loans from Advantage when I consolidated. Mohela hasn't processed me into either the SAVE or an IDR plan. I've been waiting since April 2024. 😩 Mohela keeps saying they aren't going to process anything before at least the next 90 days. This makes me feel paralyzed because they're literally saying everything is on a freeze. It sounds like Trump will be in office before they do ANYTHING in my account. Advice? Hope? Are some of us just screwed?
Go back to school. Why the hell would you take out 200k to be a liberal arts dictator lmao
🤔 I'm in this same student loan boat. My original loan was managed by Mohela on the IDR program. But I tried to fill out the PSLF, since my work supports military & nonprofit organizations, my form was transferred to the department of education. I've been freezing since the PLAN-demic.
The only thing we can do is wait until they fix this broken system. Now Trump just announced the Department of Education is closing down 😱 the best we can do is not worry & let them blow everything up 🏆
@@rationalirrationality5691fyi; most of us were hit by higher interest rates, not expecting to be fed to the sharks. Corrupted systems trolled the students as ginnepigs to figure out which system would work best for the government.
Most students suffered the consequences 😔 We are ALL still here, doing our best to survive the corrupted ways.
@@rationalirrationality5691I didn't take out 200k. Nearly half of that is compounding interest & penalities after many years. That's the beast many of us are trying to slay. My husband (now passed away) did a horrible job managing these things.
@@DSILVAjeiyHa! "PLAN-demic" is perfect. I guess I'll just sit back & watch this blow up with everyone else! 😎 It's frustrating that these videos keep saying to switch to another IBR. Mohela is very clear that they aren't processing anything right now. And I'd rather the DOE focus on uploading our months toward loan forgiveness.
When I try to change my plan to IBR, the last "Continue" button in the form doesn't do anything. Tried it with different browsers, different computers, but it never works to actually submit it. Is that happening to anyone else?
If I've been on PAYE for 10 years and it goes away and I don't qualify for IBR financial hardship do I just start a standard 10 year plan from scratch?
I consolidated and applied for save in june and they couldn't process my application after 60 days so now im in forebearance at zero percent interest. The loan is huge and has already grown up to 420 k as nd climbin with 2600 monthly payments I can not even pay the interest Should i stay on the forebearance so it doesn't grow anymore or what program can i get on so it stops growing. Its grown from 350k to 420 k and i have not been able to work
I have a question and i've been trolling reddit and unsure but: if i am at 117 before the forbearance not counting, and I am not eligible for IBR and there is no other plan after the court case; do my UNCONSOLIDATED loans qualify for PSLF if I switch to the 10 Year Standard Repayment for the remaining three payments? Thank you!
I can hear!
Are you discussing parent plus loans that were forgiven due to disability ?
Well, what really sucks is I’m on save, but only eligible for old IBR.. if save wasn’t paused I was due for forgiveness in Jan 2025. But now I have to go to old ibr and pay another 5 years.. 0 income 0 payments and will have huge tax bomb in the future. No income .. make it make sense!!
When thinking about a person’s discretionary income, are your living expenses (rent food medical credit card payments car payments) included, or counted, before they determine what you have left over that is discretionary for repayment of the loan?
Does consolidation reset the date for being considered a New IBR vs an Old IBR qualified borrower? I need to switch anyway since SAVE is going away with the Trump administration, but I'm trying to figure out how much my bill will be.
I definitely took out loans WAY before 2014. But I recently consolidated with the masses when we were being ushered toward the SAVE plan. I'm a PSLF person with over 200K in loans. 😩
I have this same question 😅 did you find answer somewhere?
I was granted borrower defense discharge on a portion of my loans, but the credit is not yet reflected in my balance. Do you think there is a risk this will not go through, or be reversed?
I filed for bankruptcy in July and in September we filed an adversary proceeding to try to get my student loans discharged. My lawyer just submitted the attestation last week. She said we have to wait four months to hear back from the department of education.
Do you think my chances to win the case are over? I was really hoping to get my student loans discharged or at least reduced by a good amount. 😢
How do you go about filling an adversary? I would love for mine to be discharged also
@ you have to file bankruptcy and then file an adversary proceeding against the department of education while your bankruptcy case is open. You have to meet an “undue hardship” test. But the Biden administration made it easier to do it, many people have been successful with their discharges. I hope my case isn’t affected by Trump.
@@LewisC-g4iI’m wishing you the best!
@ thank you. You too. 🙏
If your loans were foregiven. Will Conald do a reversal of the loans? I wouldn't put it past him.
Thank you. I was on the phone today with Mohella and Dept of Ed. My PSLF application was canceled bc my adjunct teaching (11 courses and 5 colleges each semester) no longer counts towards FT qualifications. Only a few years ago it did. I guess the rules changed. Meanwhile, I could reapply for IDR, but that's on hold for a minute or month or.... Crazy stuff.
I took my first loan in fall of 2013. If I was able to pay that off and all my loans are in 2014 or later are you saying I’d be eligible for new ibr? (Basing this question off your comments at 1:06:00
Would really like to know the answer to this too. I'm in a similar situation.
If you borrowed before July 1, 2014, those loans would have needed to be completely paid off before taking out new loans after July 1, 2014 to be considered a "new borrower" for New IBR eligibility. That is, you needed to have no outstanding federal student loans by July 1, 2014 to be eligible for New IBR on loans taken out after July 1, 2014.
@@angiepack1667 Thank you
I’m in a processing forbearance with mohela. I applied to save plan but never got on it and have been in limbo. One mohela rep said it will count towards my pslf while in this type of forbearance is this true?
“Servicers may put borrowers into processing forbearance for up to 60 days while they process an IDR application. Interest accrues during this time, and the time counts toward PSLF.” I found this on federal student aid.gov
Will Mohela leave me at my current status?
Thank you! It is very hard to find information anywhere. I consolidated 30 year old graduate school FFEL loans into a federal loan which is currently in standard repayment. (I was told standard would count towards forgiveness but it doesn’t seem that’s the case?) I have 300 months of payments counted but don’t qualify for IBR (although I could have, if I’d known…). Should I try to apply for ICR asap? (I believe applications are paused.) Or is all hope lost?
Save is going down the sh*tter. Pslf is next. Vote sponge bob and Hello little kitty.
What about the people who got art institute loans forgiven email May 1st I got one they put me in admin forbearance since then and I’m still waiting for it to be done when I call they never know anything at mohela
Will Biden still pay off my student loan? I voted for Kamala, she could and have to pay because she got my vote.
From what I remember from the campaign, Kamala is from a middle class family, so she definitely understands where you're coming from.
We got pulled into this loan forgiveness for our school loan without our concent. It's been frozen for a year not allowing us to pay. Now it looks like the loan payment will be over $1k a month. A teachers salary with a loan payment that high is life altering.
need to work a second job.
8:51
The economy and inflation is left really bad.
Honestly, who is responsible for your debts.
Are we talking about the fact that Trump will just say, I can do what I want ... and then do what he wants?
He can't just do what he wants. Does he have less blockage this time? Sure. But he still has to work with Congress, and even if Congress is flipped, there are many Republicans who do not approve of him. I am not defending Trump, but keep in mind that this is the same man who approved student loan moratorium with interest rate removal AND forgiveness count during Covid. If he did what he wanted to do, then we would have all had to pay regardless of the pandemic.
@@Alexander-o1y6e Why not? Who is going to stop him? Here: reinstate, sincerely, Trump.
Just like how Biden did what he wanted when he laundered billions to other countries? 🤦🏻♀️
@@jameshatcher2892Hopefully he say get rid of these things. Pay them off government!
3:20 i think your confidence in republicans not getting rid of the filibuster is misplaced
Nothing, pay them back
Sorry you will have to pay your own loan back instead of me paying.
We'll find a way to get you to contribute. Thank you in advance! I really appreciate it.
You all need to pay the for your own loan not the tax payer.
100%
You will need to understand that's not the way it works and complain somewhere else.... Seriously, if you can't figure out this stuff, go away. No one needs ten thousand repetitions of the same sentiment. We know you hate people with an education. Give it a rest.
They are but there has been so much mismanagement with processing and backlogs. The borrowers need accurate billing and being able to reach their lender.
I would man, but the interest rate is killing me. Not that you care.
God wants the rich to help the least advantaged