Which programs are actually running right now

Several federal student loan forgiveness programs continue to operate in 2025, though the landscape has narrowed since 2023. The Public Service Loan Forgiveness (PSLF) program remains open and is processing claims. Income-Driven Repayment (IDR) forgiveness — which cancels remaining balances after 20 to 25 years of payments — continues for borrowers on may have access to plans. Teacher Loan Forgiveness, which cancels up to $17,500 for teachers in low-income schools after five years of service, is still available. Perkins Loan Forgiveness for public service work and Closed School Discharge (for borrowers whose schools shut down) also remain active.

The broad one-time forgiveness program announced in 2022 — which would have canceled up to $20,000 for Pell Grant recipients and $10,000 for other borrowers — was blocked by the Supreme Court in June 2023 and has not been revived. No new broad forgiveness initiative has launched since then. What remains are the targeted programs that have existed for years, now operating under normal procedures without the temporary expansions that were in place during the pandemic.

Key Takeaways

  • Public Service Loan Forgiveness, Income-Driven Repayment forgiveness, and Teacher Loan Forgiveness are the three largest active programs in 2025.
  • PSLF requires 120 may have access to monthly payments while working full-time for a government agency or nonprofit; the Public Service Loan Forgiveness Limited Waiver that loosened these rules ended in October 2023.
  • IDR forgiveness cancels remaining balances after 20 to 25 years of payments depending on the plan, and borrowers must be on an income-driven plan and making payments to remain on track.
  • Teacher Loan Forgiveness requires five consecutive years teaching in a low-income school and covers up to $17,500 depending on the loan type and grade level taught.
  • Borrowers can hold only one forgiveness program at a time; choosing the wrong path can cost years of payments or thousands of dollars.

Public Service Loan Forgiveness: the 120-payment standard

PSLF cancels remaining federal student loan balances after 120 may have access to monthly payments — roughly 10 years — while working full-time for a government agency or a nonprofit organization with 501(c)(3) status. The payments do not have to be consecutive, but the borrower must be employed in a may have access to position when each payment is made. The employer must certify the employment using the Employment Certification Form, which the borrower submits to their loan servicer.

The loan servicer is Federal Student Aid (FSA), which manages PSLF claims. Borrowers can check their payment count and employment history through the PSLF Help Tool on studentaid.gov. The tool shows how many payments have counted toward the 120 and flags any gaps or employer mismatches. Processing times for forgiveness after the 120th payment typically run 30 to 90 days, though some claims take longer if documentation is incomplete.

The PSLF Limited Waiver, which temporarily allowed borrowers to count payments made under any repayment plan and waived some employment verification requirements, ended on October 31, 2023. Borrowers who submitted claims during the waiver period continue to have them processed under the waiver rules, but new claims filed after that date must meet the standard requirements: payments must have been made on an income-driven repayment plan, income-contingent repayment plan, or the 10-year standard plan, and employment must be verified by the employer.

Income-Driven Repayment forgiveness: the 20 to 25-year path

Borrowers on income-driven repayment plans — SAVE, PAYE, REPAYE, or IBR — have their remaining loan balance canceled after 20 to 25 years of payments, depending on the plan and whether the loans are undergraduate or graduate. The SAVE plan, which launched in 2023, offers forgiveness after 20 years for undergraduate loans and 25 years for graduate loans. Older plans (PAYE, REPAYE, IBR) forgive after 20 years for undergraduate loans and 25 years for graduate loans.

To remain on track for IDR forgiveness, a borrower must stay enrolled in an income-driven plan, recertify income annually (or when the plan requires it), and make payments as scheduled. Missing payments or falling out of repayment status can reset the clock or disqualify the borrower from forgiveness. The loan servicer tracks the payment count and sends notices as the forgiveness date approaches.

The SAVE plan has become the default recommendation for many borrowers because it offers the lowest monthly payments — calculated at 5 percent of discretionary income — and forgives undergraduate loans faster than other plans. However, borrowers already on PAYE or REPAYE are not automatically moved to SAVE; they must request the switch themselves through their loan servicer's website or by phone.

Teacher Loan Forgiveness: the five-year requirement

Teachers who work full-time in a low-income school for five consecutive years can have up to $17,500 of their federal student loans forgiven. The amount depends on the type of loan and the subject taught: teachers of math, science, special education, or English as a second language in schools that serve low-income students receive the full $17,500. Teachers in other subjects or schools receive $5,000. The school must be on the Department of Education's list of low-income schools, which is updated annually.

The borrower must submit the Teacher Loan Forgiveness process to their loan servicer after completing the five years of service. The school must certify the employment and the years of service on the form. Processing typically takes 30 to 60 days. Unlike PSLF, the five years do not have to be consecutive if there are breaks in employment, but they must be within a 10-year window.

Teacher Loan Forgiveness can be combined with PSLF if the teacher works for a public school (which is a government employer). However, the borrower must choose which program to pursue first, because payments made under one program do not count toward the other. A teacher who has already made 120 PSLF payments should not explore for Teacher Loan Forgiveness, because the programs do not stack.

Perkins Loan Forgiveness and Closed School Discharge

Perkins Loans, which are federal loans made directly by schools, have their own forgiveness programs for public service work. Teachers, nurses, law enforcement officers, and other public servants can have up to 100 percent of their Perkins Loans forgiven depending on the profession and years of service. The borrower must submit a Perkins Loan Forgiveness process to the school that issued the loan or to the loan servicer handling the account.

Closed School Discharge cancels federal student loans for borrowers whose schools closed while they were enrolled or shortly after they withdrew. The borrower does not have to prove financial hardship; the discharge is based solely on the school's closure. The Department of Education maintains a list of closed schools. Borrowers can check whether their school is on the list and submit a Closed School Discharge process through studentaid.gov or by contacting their loan servicer.

How to find out which program fits your situation

The first step is to determine what type of loans you hold and what your employment situation is. Federal Direct Loans and Federal Family Education Loans (FFELs) are may be able to access for most programs, but Perkins Loans have separate rules. Private student loans are not may be able to access for any federal forgiveness program. You can check your loan type and balance on the National Student Loan Data System (NSLDS) at studentaid.gov.

If you work for a government agency or a nonprofit, PSLF is worth exploring. Use the PSLF Help Tool to see how many payments have counted and whether your employer qualifies. If you work in the private sector or are self-employed, PSLF is not an option, but IDR forgiveness may be. If you are a teacher in a low-income school, Teacher Loan Forgiveness may offer faster relief than PSLF or IDR.

Many borrowers are may be able to access for more than one program. For example, a teacher at a public school could pursue either Teacher Loan Forgiveness (five years) or PSLF (10 years). A nonprofit employee could pursue PSLF or IDR. The choice depends on how long you plan to stay in your current role, how much you owe, and how much your income is expected to grow. Speaking with a student loan counselor — available free through the Federal Student Aid office — can help clarify which path makes sense for your circumstances.

What changed between 2023 and 2025

The most significant change was the end of the PSLF Limited Waiver in October 2023. During the waiver period (October 2021 to October 2023), borrowers could count payments made under any repayment plan, even if they did not meet the standard PSLF requirements. Thousands of borrowers received forgiveness under the waiver. After the important date, new claims must meet the original rules: payments must have been made on a may have access to repayment plan, and employment must be verified.

The SAVE plan, which launched in 2023, has become the primary income-driven option for new borrowers and those switching plans. It offers lower monthly payments and faster forgiveness for undergraduate loans than older plans. However, it does not change the fundamental structure of IDR forgiveness — borrowers still wait 20 to 25 years for the remaining balance to be canceled.

The broad one-time forgiveness program remains blocked. No legislation has passed to revive it, and no new executive action has been taken since the Supreme Court ruling. Borrowers should not expect a one-time cancellation and should instead plan around the programs that are currently operating.

Frequently Asked Questions

Can I explore for more than one forgiveness program at the same time?

No. You can only pursue one forgiveness program at a time. Payments made under one program do not count toward another. If you are may be able to access for both PSLF and Teacher Loan Forgiveness, you must choose which one to pursue first. Once you reach forgiveness under one program, the loans are canceled and the other program no longer applies.

What happens to my loans if I leave my public service job before reaching 120 PSLF payments?

The payments you made while in public service still count toward the 120, even if you leave the job. However, payments made after you leave do not count. If you return to public service later, new payments will count again. You can check your running total using the PSLF Help Tool at any time.

Do I have to be on an income-driven plan to get PSLF forgiveness?

Yes, under the current rules (after the waiver ended). Your payments must have been made on an income-driven plan, income-contingent repayment, or the 10-year standard plan. Payments made on other plans do not count. If you are on a different plan, you must switch to a may have access to plan before your payments will count toward PSLF.

How do I know if my school is on the low-income list for Teacher Loan Forgiveness?

The Department of Education publishes the list of low-income schools annually. You can search for your school on the Federal Student Aid website or ask your school's financial aid office whether it qualifies. The list changes year to year, so a school that may have access to one year may not may have access to the next.

If I have both federal and private student loans, can I get any of them forgiven?

Only federal loans are may be able to access for forgiveness programs. Private student loans have no federal forgiveness options. If you have both types, you will need to manage them separately. Some private lenders offer their own discharge programs for specific circumstances like school closure, but these are not federal programs and vary by lender.