Want Student Loan Forgiveness? New Report Says 80% Of You Will Get Rejected


Want student loan forgiveness? A shocking, new report says that 80% of you will get rejected.

Here’s what you need to know.

Student Loans

A Freedom of Information Act (FOIA) request has revealed that the Public Service Loan Forgiveness program will continue to reject 80% of student loan borrowers by 2026. This is based on never-before-seen internal documents that the U.S. Department of Education released to Student Loan Borrower Protection, a leading student loans advocacy non-profit. (This follows another report that shows $40 million of wages were garnished to pay student loans — after wage garnishment was prohibited by Congress in the Cares Act, the $2.2 trillion stimulus package). The Public Service Loan Forgiveness program was created by a bipartisan Congress in 2007 and helps public servants like police officers, servicemembers, teachers, firefighters, first responders, nurses, doctors, attorneys and others get full federal student loan cancellation if they work for a qualified public service or non-profit employer and make at least 120 monthly student loan payments, among other requirements. Currently, however, 98% of student loan borrowers who seek this student loan forgiveness have been rejected. Congress even tried to fix the program with a temporary student loan forgiveness program, but that too has a 97% rejection rate.

The orange line in this chart is not the border of the chart; it’s the actual approval rate of the Public Service Loan Forgiveness program over the past two years. That’s right — 2%.

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