Forgiveness, Forbearance and Other Student Loan Changes to Know

Politics and a pandemic have shoved stodgy student loans into the spotlight. Since 2020, borrowers have encountered an onslaught of changes to the federal student loan landscape, including more than three years of paused payments, an upcoming repayment plan overhaul and potential debt cancellation.

Backtracked announcements and timeline changes have made it difficult for borrowers to keep up with where things stand. Here’s what you need to know and how to prepare for what comes next.

Supreme Court deciding student debt cancellation fate

Announced in August 2022, President Joe Biden’s one-time proposal would erase up to $20,000 in federal student loans for more than 40 million eligible borrowers — but an ensuing legal showdown has put the plan in the hands of the Supreme Court.

In December 2022, the high court said it would evaluate two major lawsuits blocking the loan cancellation plan, and it held student debt cancellation oral arguments in February. The public hearing was the…

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This article was written by Eliza Haverstock and originally published on www.nerdwallet.com