"Thousands of student-loan borrowers are stuck inlimbo. President Donald Trump's Department of Educationprovided an update on the progress it has made inprocessing student-loan borrowers' income-driven repayment applications in a court filing last week.It seems the department still has a lot of work to do: 802,730 IDR applications are pending as of November 30. Per the court filing, the department discharged the loans of 170 student-loan borrowers who were on IDR plans in November,"
"The updates are a result of an agreement the Department of Education reached with the American Federation of Teachers, which accused the department in a lawsuit of delaying processing and denying borrowers the relief they're owed. In October, the department also said in a court filing in the AFT lawsuit that it would process more forgiveness for borrowers on income-driven repayment plans, appearing to be a commitment to keep working through the backlog."
802,730 income-driven repayment (IDR) applications were pending with the Department of Education as of November 30, creating a large processing backlog. The department discharged loans for 170 borrowers on IDR plans in November and issued 280 discharges under Public Service Loan Forgiveness for qualifying government and nonprofit workers. The backlog follows an agreement with the American Federation of Teachers, which accused the department of delaying processing and denying relief. The department committed in October to process more IDR forgiveness, but the timeline for completing applications and granting relief remains uncertain, leaving many borrowers in repayment limbo ahead of major 2026 changes.
Read at Business Insider
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