Are you ready for student loan payments to resume this fall?
Payments and interest have been paused on federally held student loans since March 2020, but the recent passage of the debt ceiling bill codified the start date for student loan payments. Interest on federally held student loans resumed on September 1, 2023, and payments are due throughout October.
Since it’s been over three years since borrowers have had to make federal student loan payments, here are a few things you can do to help with the transition to repayment:
1. Confirm your loan servicer, and make sure your contact information is up to date at StudentAid.gov
Many borrowers with federal student loans may have had their servicer change during the payment pause. It’s important to make sure you know who your loan servicer is and have access to your online servicer account. To find the name of your current loan servicer, login to your StudentAid account and look on your account dashboard. If your loan has been transferred to a new servicer, make sure you register and create a new account with them as soon as possible. Your loan servicer will notify you well before your payment is due.
2. Update your Savi Account
Make sure your Savi Account is updated with the most recent information! Check your 2023 General Info application to confirm your income and employment info, and be sure that your current servicer's account is synced!
3. Understand your loan repayment options
Your financial situation may have changed during the pandemic and there may be a better repayment plan available for you now. You may be eligible for a lower monthly payment through an Income-Driven Repayment plan (IDR)! Complete your Savi assessment to see your personalized repayment calculator.
4. Get on track for loan forgiveness
The time during the payment pause counts towards Public Service Loan Forgiveness and eligible borrowers have the potential to receive credits toward the 120 needed to achieve full forgiveness of their eligible loan balance! Borrowers should make sure they have completed an Employer Certification Form (ECF) for their employment during the payment pause to receive the PSLF credits. Whether or not you currently participate in the PSLF program, now is the time to confirm your eligibility and apply before payments resume! You can login to your Savi account and upgrade to a premium plan for simple digitized filing.
For more information, you can keep up with all the most recent updates affecting student loans here.