Originally appearing in The New York Times on Jan. 12, 2024, Tara Seigel Bernard talks to NCLC’s Abby Shafroth about the new income-driven repayment plan known as SAVE. People enrolled in the program who borrowed $12,000 or less for college and have made at least 10 years of qualifying monthly payments would immediately have any remaining debt wiped out.
Abby Shafroth, director of the student loan borrower assistance project at the National Consumer Law Center, noted that borrowers with a Perkins loan or what’s known as a FFEL loan (the acronym stands for Federal Family and Education Loan) can enroll in SAVE to receive the potentially shortened repayment term, but they must first consolidate their debt in a direct loan.
“And when they submit their consolidation application, they can apply for SAVE at the same time,” Ms. Shafroth said.
Abby Shafroth, director of the student loan borrower assistance project at the National Consumer Law Center
Support NCLC
Please support NCLC's work to advance consumer rights and economic justice with a tax-deductible contribution today!
Donate