Public Service Loan Forgiveness (PSLF) program

Aug 19, 2022

Many NATCA members have attended Collegiate Training Initiative (CTI) schools and/or other college programs and have student loan debt. Do you have a federal student loan? If so, you may be able to benefit from temporary changes made to the Public Service Loan Forgiveness (PSLF) program. These changes, called the “Limited PSLF Waiver,” are helping borrowers across the nation more easily get their loans forgiven. For a limited time, any person with federal student loans who has worked in government and/or for a private, non-profit organization for 10 years or more (even if not consecutively) may be eligible to take advantage of temporary, time-limited changes to the PSLF program made as a result of the COVID-19 national emergency to have all or part of their student debt canceled.

The waiver will allow borrowers to gain additional PSLF credit, even if they had been told previously that they had the wrong loan type or the wrong repayment plan. You must submit a PSLF form and/or consolidate your non-direct federal student loans by October 31 to get the benefit.

You can learn more about the waiver on the following website operated by the Federal Student Aid Office of the U.S. Department of Education [https://studentaid.gov/announcements-events/pslf-limited-waiver?utm_source=em_a&utm_medium=pdf&utm_content=l1&utm_campaign=pslf_waiver_fedtoolkit_ext_2022].

The waiver gives borrowers credits for past periods of repayment on federal student loan – even loans that would otherwise not qualify for PSLF (i.e., Federal Family Education Loans (FFEL), Federal Perkins Loans, Federally Insured Student Loans (FISL), National Defense Student Loans (NDSL), and other types of federal loans that are not Direct Loans) – as long as the borrower consolidates into a federal Direct Loan.
Past periods of repayment will now count whether or not you, made that payment on time, for the full amount due, or on a qualifying repayment plan. The Department of Education will even count certain periods of forbearance toward PSLF.

There’s no specific application for the waiver, but you will need to submit a PSLF form by October 31. If you have non-direct federal student loans, you will also need to consolidate into a direct loan before October 31. Once you have submitted a PSLF form and consolidated into the Direct Loan program, you will be automatically opted into the waiver. This means that, if you qualify, you will lock in the benefits of the waiver and start accruing credit towards PSLF.

If you previously applied for PSLF and were denied because of your loan type, the federal government is encouraging you to try again.

If you previously applied for PSLF, the federal government is encouraging you to update your employment certification by completing a PSLF form.

To take advantage of the waiver, you need to:

Register for an FSA ID if you don’t already have one at this link [https://studentaid.gov/fsa-id/create-account/launch?utm_source=em_a&utm_medium=pdf&utm_campaign=pslf_waiver_fedtoolkit_ext_2022].

If you have Federal Family Education Loans (FFEL), Perkins loans, or other federal student loans including FISL or NDSL, you will need to consolidate your loans into a Direct Consolidation Loan to qualify for PSLF. Before consolidating, make sure to check to see if you work for a qualifying employer using the PSLF Help Tool [https://studentaid.gov/pslf/?utm_source=em_a&utm_medium=pdf&utm_content=l1&utm_campaign=pslf_waiver_fedtoolkit_ext_2022]. You can consolidate your loans if you need to at this link [https://studentaid.gov/app/launchConsolidation.action?utm_source=em_a&utm_medium=pdf&utm_content=l1&utm_campaign=pslf_waiver_fedtoolkit_ext_2022].

Submit a PSLF form to certify employment for PSLF that you want credit for through the waiver. You can generate a PSLF form at this link [https://studentaid.gov/pslf/?utm_source=em_a&utm_medium=pdf&utm_content=l1&utm_campaign=pslf_waiver_fedtoolkit_ext_2022]. In the PSLF Help Tool, it’s important to use the appropriate Federal Employer Identification Number (EIN). Please check with your HR department for the correct EIN for your employer. You can also find it on your W-2.

Just a few minutes of your time may save you thousands of dollars on your student loans. Remember, you need to take the steps necessary to qualify for the Limited PSLF Waiver before October 31, 2022. Take advantage of the PSLF waiver TODAY!