Five Critical Loan Considerations for Borrowers Through 2024

It’s hard to believe that as we’re drafting this update, it’s already Fall.. especially since the temperature in Phoenix, where we’re headquartered, remains well over 100.

Rest assured, no matter your location, our aim is to keep you cool and collected as headlines in the student loan marketplace continue to drive uncertainty. To this end, if you’re a PSLF candidate or a qualified employer, these are your top considerations on the student loan front:

1) The Uncertain Future of the SAVE Plan

The SAVE repayment plan is currently blocked by federal courts, leaving its future uncertain. For the 8 million borrowers enrolled, this means temporary relief through forbearance, but also uncertainty regarding long-term repayment strategies. If you’re on SAVE, stay tuned for updates—if the plan remains blocked, other repayment options like IBR, PAYE, or REPAYE may be alternatives.

2) Income Recertification

A largely overlooked issue in the media, income recertification for borrowers enrolled in Income-Driven Repayment (IDR) plans resumes this fall after a four-year break. Most borrowers in these plans are paying based tax filings as far back as 2018. With recertification, most of you will see payment increases, especially if the SAVE plan remains blocked. If you haven’t recertified your income yet, now is the time to gather your documents, review your tax filing status, and prepare for increased payments. This is especially important if you graduated in the past five years and haven’t made payments.

3) The End of the “On-Ramp”

When payments resumed under the CARES Act last October, a 12-month “on-ramp” prevented penalties for missed payments. However, starting next month, non-payment, late payments, or underpayments can subject borrowers to default, credit damage, and collections. Ensure you’re prepared to make full payments or explore alternative repayment options before penalties are reinstated.

4) IDR Account Adjustment

Originally set for completion by September 1st, the IDR account adjustment is still ongoing, according to the Department of Education website. This adjustment provides retroactive credit toward IDR and PSLF forgiveness, and it’s automatically applied—no action is required by you. Most eligible borrowers have already received this, but if you consolidated loans in 2024, your adjustment may still be processing.

5) Potential Shifts with a New Administration

While this likely goes without saying, a change in administration after November’s election could lead to shifts in student loan policy. However, it’s important to remember that programs like Public Service Loan Forgiveness (PSLF) and some IDR plans were created by Congress and are secured in your promissory notes. Future policy changes would only affect new borrowers, not existing ones. Interestingly, there is bipartisan support for both PSLF and IDRs, and proposed programs like the “Employer Participation in Repayment Act” could extend employer-sponsored student loan benefits indefinitely.

We know these updates can feel overwhelming, even if your current plan is to sit tight pending the SAVE decision. We’re always available for one-on-one consultations to discuss repayment, tax filing, income recertification, and other strategies. Use this link for a 25% discount if your employer hasn’t provided a link to cover this cost.

About Author

Jason DiLorenzo

Jason is the Founder of BenElevate, an early stage fintech company working to address the student debt crisis by bringing to bear tools, expertise, and bespoke solutions to streamline student debt management for borrowers and employers.