Will old student loans be forgiven?

Asked by: Dillan O'Kon  |  Last update: October 2, 2025
Score: 4.6/5 (18 votes)

Any borrower with ED-held loans that have accumulated time in repayment of at least 20 or 25 years will see automatic forgiveness, even if the loans are not currently on an IDR plan. Borrowers with FFELP loans held by commercial lenders or Perkins loans not held by ED can benefit if they consolidate into Direct Loans.

Do old student loans qualify for forgiveness?

You may be eligible for income-driven repayment (IDR) loan forgiveness if you've have been in repayment for 20 or 25 years. An IDR plan bases your monthly payment on your income and family size.

Do old student loans get written off?

It is possible for your student loans to be erased, but only if you are enrolled in one of the government programs to help student loan debtors and if you have punctually complied with your payments. If you refinanced your debt through an income-driven repayment plan, your balance will be erased after 20 or 25 years.

Does student loan forgiveness apply to past payments?

No. You no longer have student loans. Student loan forgiveness if it ever happens won't have anything to do with you.

Are student loans erased after 20 years?

Under certain federal programs, it's possible to get your student loans forgiven after 20 years of qualified payments. Private student loans, however, typically don't have forgiveness options, regardless of how long you pay them.

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What happens if you don't pay off student loans in 25 years?

Any borrower with ED-held loans that have accumulated time in repayment of at least 20 or 25 years will see automatic forgiveness, even if the loans are not currently on an IDR plan. Borrowers with FFELP loans held by commercial lenders or Perkins loans not held by ED can benefit if they consolidate into Direct Loans.

Is it too late for student loan forgiveness?

You can still apply for Student Loan Forgiveness in 2024. Despite the Supreme Court striking down Biden's initial plan to cancel up to $20,000 in student loans, the president has introduced other programs that have provided $167.3 billion in student loan forgiveness to over 4 million borrowers.

Can you backdate student loan forgiveness?

The waiver allows borrowers to have all previous payments, regardless of loan or repayment type, count toward forgiveness. Backdated payments may now include any months deferment prior to 2013 and any months of payments before consolidation of federal student loans.

Can I get a refund if I paid off my student loans?

Can I get a refund if I already received forgiveness or paid off my loan? No. If you have already received forgiveness or paid off your loans, you are not eligible for a refund of prior payments.

How do I get rid of old student loans?

Your loan can be discharged only under specific circumstances, such as school closure, a school's false certification of your eligibility to receive a loan, a school's failure to pay a required loan refund, or because of total and permanent disability, bankruptcy, identity theft, or death.

Do unpaid student loans ever go away?

Student loans will remain on your credit reports and in your life until their paid in full or you qualify for Public Service Loan Forgiveness, income-based repayment forgiveness, or some other discharge or cancellation opportunity that wipes your remaining loan balance.

What happens to student loan debt after 20 years?

Are federal student loans forgiven after 20 years? Yes, federal student loans may be forgiven after 20 years under certain circumstances. But only certain types of loans are eligible for forgiveness, and you must be enrolled in a qualifying repayment plan. You'll also need to stay out of default on your loans.

At what age do student loans get written off?

At what age do student loans get written off? There is no specific age when students get their loans written off in the United States, but federal undergraduate loans are forgiven after 20 years, and federal graduate school loans are forgiven after 25 years.

What disqualifies you for student loan forgiveness?

You must be a direct employee of a qualifying employer for your employment to qualify. This means that employees of contracted organizations, that are not themselves a qualifying employer, won't qualify for PSLF including government contractors and for-profit organizations.

How to get student loan forgiveness after 10 years?

If you work full time for a government or nonprofit organization, you may qualify for forgiveness of the entire remaining balance of your Direct Loans after you've made 120 qualifying payments—i.e., at least 10 years of payments. To benefit from PSLF, you need to repay your federal student loans under an IDR plan.

Why did I get a student loan refund check in 2024?

Why did my college send me a check? A refund check is money that is directly deposited to you by your college. It is the excess money left over from your financial aid award after your tuition and additional fees have been paid. Your college may send you a check or the money may be deposited into your checking account.

Can you retroactively apply for federal student loans?

To be considered for a retroactive Federal Direct Loans for fall, spring or summer of the Award Year: We must receive both your ISIR from the Central Processing System (CPS) reflecting a calculated Student Aid Index (SAI) and your formal loan request, and. you must have remaining FDL eligibility, and.

How will I know if my student loan will be forgiven?

Your student loan servicer(s) will notify you directly after your forgiveness is processed. Make sure to keep your contact information up to date on StudentAid.gov and with your servicer(s). If you haven't yet qualified for forgiveness, you'll be able to see your exact payment counts in the future.

What years count for student loan forgiveness?

Payments are adjusted annually based on changes to their income. Any remaining balance after 2o or 25 years (depending on the plan and the borrower's type of loans) would be eligible for student loan forgiveness. Historically, only time spent in an IDR plan “counts” toward loan forgiveness.

What is the deadline for student loan forgiveness?

Many student loan borrowers have an opportunity to receive full student loan cancellation or more credit towards cancellation. The U.S. Department of Education will conduct a one-time adjustment this summer , but you may need to take steps to qualify. The deadline to act is June 30, 2024. Here's what you need to know.

How do I know if my student loan will be cancelled?

You will receive notification of your loan discharge via email, mail and/or your online loan servicing account (depending how your communication preferences are set). It will also be reflected when you log in to the Federal Student Aid site using your FSA ID.

How much is $200 000 in student loans monthly payment?

Let's say you have $200,000 in student loans at 6% interest on a 10-year repayment term. Your monthly payments would be $2,220. If you can manage an additional $200 a month, you could save a total of $7,796 while trimming a year off your repayment plan.

How many students have borrowed over $200,000 for college?

Meanwhile, 1 million people had a federal student loan balance of more than $200,000, up from 600,000 individuals.