Recent changes to the Public Service Loan Forgiveness program (PSLF) and updates to the TEACH Grant program may provide ACTE members with an opportunity to receive PSLF credit for federal student loan payments previously made and enjoy streamlined requirements for the TEACH Grant program.
You may be able to receive credit for student loan payments that did not qualify for PSLF under the previous rules. Now until October 31, 2022, all periods of repayment of your federal student loans will count toward your PSLF eligibility, regardless of whether you hold Direct Loans, Perkins loans or another loan type. If you have federal student loans, this is a great opportunity! Many of those working with and teaching in CTE programs may qualify for the expanded PSLF waiver. Additionally, if you received Teacher Loan Forgiveness (TLF), that period of service will concurrently count toward (PSLF). There are a few steps you should take to take advantage of these benefits:
If you currently have direct federal loans and have not applied for PSLF:
- Make sure your employer is eligible for PSLF through the PSLF tool.
- Consolidate your loans, if you wish.
- Apply for PSLF before October 31, 2022.
If you have already received credit toward PSLF:
- No further action will be needed, unless the Department of Education contacts you.
If you were denied from receiving PSLF previously:
- You will need to submit a new PSLF form to reevaluate your eligibility for PSLF.
Recent changes to the TEACH Grant program will also mean that borrowers who received these grants will not be subject to the same requirements as in previous years. Specifically, these new changes include:
- Only four complete teaching certifications across the eight-year requirement
- Expanded fields of eligibility for TEACH recipients
- Entrance, exit and loan conversion counseling
The Department of Education will also reconsider grant-to-loan conversions, extend the time to meet service, and remove interest and negative reporting.
You do not need to take any action to take advantage of these new TEACH Grant changes.
You can view a recording of a recent webinar explaining these opportunities at the link here. If you have questions about PSLF and/or TEACH Grants, please contact ACTE Government Relations Manager, Zach Curtis, at [email protected].
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