The PSLF Limited Waiver Explained

The Public Service Loan Forgiveness (PSLF) Program was established in 2007 to help non-profit and/or government workers with their federal student loan balances. Under the original guidelines, only those with Direct Student Loans – Subsidized, Unsubsidized, PLUS, and Consolidated – would receive credit toward forgiveness. Limitations were also placed on the loan payments themselves. Payments must have been made on-time, in-full, and within the correct repayment plan.

  1. Allowing past payments to Perkins and Family Federal Education Loans (FFEL) to count toward forgiveness – these types of loans were ineligible under the original PSLF Program.
  2. Allowing borrowers to consolidate their federal loans without losing eligibility for forgiveness – previously, borrowers who consolidated individual federal loans (Direct or non-Direct) to a Direct Consolidation Loan would have to restart their eligible payment clock.
  3. Allowing partial payments to count – payments that were made for less than the monthly billed amount would not count toward PSLF.

These changes have allowed many additional borrowers to become eligible for forgiveness under PSLF, and the full list of changes can be viewed on the PSLF Limited Waiver Fact Sheet.

As of now, the October 31, 2022 deadline has not been extended (please note that this differs from the recently announced administrative forbearance extension ending on December 31, 2022), so make sure to contact your lender if you believe you are eligible for forgiveness! You may also contact a Family Wellbeing Specialist, with a focus on Family Finance ( for additional assistance with navigating your student loans.

Ryan Stuart

Ryan is a Human Sciences Specialist in Family Wellbeing and an Accredited Financial Counselor®. He focuses on educating and empowering all Iowans to independently make positive financial decisions throughout their life course.

More Posts

Be a “Student Loan Hero”

Repay Student DebtEhlers-guest bloggerBeing a ‘Student Loan Hero’ is a hot topic in the mainstream news. It’s also a hot topic around my family’s kitchen table these days, because 2015 was our son’s first repayment year on a private college loan and in 2016 our daughter finalizes her college finance decisions.

To sort the choices we looked at CFPB (Consumer Financial Protection Bureau) tools to understand student loans (federal or private) available and repayment options.

A new ‘income-driven’ repayment option for student debt is getting attention.  It’s called REPAYE (Revised Pay As You Earn), and it is based on a certain percentage of your income. The loan repayment details under all the income-based repayment plans were best described by Federal Student Aid (U.S. Department of Education).

Much has changed in the world of college finance during the five years between our son’s and daughter’s college entrance. Federal loans issued before July 1, 2010 were made through the Federal Family Education Loan (FFEL) program. If you’re unsure and need details about your personal federal loan you can find your information on the National Student Loan Data System database.

Whether you are a new college graduate or a soon-to-be college freshman, be a ‘Student Loan Hero’ by thoroughly researching all your borrowing and repayment options.

Carol Ehlers is a Family Finance specialist working to empower consumers to take control over their economic lives. 


Barb Wollan

Barb Wollan's goal as a Family Finance program specialist with Iowa State University Extension and Outreach is to help people use their money according to THEIR priorities. She provides information and tools, and then encourages folks to focus on what they control: their own decisions about what to do with the money they have.

More Posts


Subscribe to “MoneyTip$”

Enter your email address:

Delivered by FeedBurner