Millions of student loan borrowers face uncertainty as changes to key forgiveness plans loom. Last year, the SAVE plan ended with a settlement agreement, impacting 7.5 million borrowers. More than 5 million Americans are in default on federal student loans, with collections halted temporarily. Borrowers are urged to stay informed and proactive amidst ongoing changes.

For those enrolled in the SAVE plan, the Education Department will transition borrowers to new repayment plans. Borrowers can apply for income-driven repayment plans such as IBR, PAYE, and ICR, offering lower payments based on income. The future of the Public Service Loan Forgiveness program remains uncertain due to proposed eligibility changes.

Involuntary collections on federal student loans are delayed, providing relief to borrowers in default. Borrowers can seek loan rehabilitation programs to stop wage garnishment after making successful payments. Graduate students face new loan limits under Trump’s “Big Beautiful Bill,” affecting borrowing amounts for professional programs.

Borrowers can consolidate multiple federal student loans into a single loan with a fixed interest rate and monthly payment. The consolidation process takes around 60 days to complete and can only be done once. Stay informed and take proactive steps to navigate the evolving landscape of student loan policies.

Read more at Yahoo Finance: What to know about student loan repayment plans and collections