Summary
President Trump's administration finalized a change to the Public Service Loan Forgiveness (PSLF) program, defining which public service employers qualify for student loan forgiveness. The new rule will exclude organizations with illegal activities from the program, and it will become effective on July 1, 2026.
Key Facts
- The Department of Education finalized a rule for the Public Service Loan Forgiveness program.
- PSLF forgives student loans after 10 years of public service work and payments.
- President Trump signed an executive order to revise the program's criteria.
- The new rule excludes employers with substantial illegal activities from qualifying.
- The rule change is part of Trump's efforts to reform certain programs.
- The new criteria will alert borrowers if their employer is disqualified.
- Approximately 9 million borrowers are potentially eligible for PSLF.
- The change takes effect on July 1, 2026.
