If you’re a student loan borrower, you may be able to reduce what you owe—or even see your loan forgiven.

The U.S. Department of Education (ED) will be giving student loan borrowers credit for payments under its Income Driven Repayment (IDR) program dating back to July 1994.

However, some borrowers must consolidate their loans into a Direct Consolidation Loan to receive the most credit. The loans that must be consolidated are:

• Parent PLUS loans
• Commercially-managed Federal Family Education Loan (FFEL) Program loans
• Perkins Loans
• Health Education Assistance Loan (HEAL) Program loans

Important: Loan consolidation must occur before April 30, 2024.

Borrower action plan:

1. Learn if your loan must be consolidated by contacting ED at 800-433-3243 or by visiting StudentAid.gov.
2. Apply for consolidation at https://studentaid.gov/loan-consolidation before April 30.
3. Enroll in an IDR plan at https://studentaid.gov/idr/ to continue earning credit toward loan forgiveness after April 30.

For more information, click here. 
 

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