Student-loan forgiveness just got more complicated.
President Donald Trump’s Department of Education quietly updated its guidance on student-loan forgiveness for borrowers on income-based repayment plans, which give enrolled borrowers monthly payments based on their income and family size with the promise of forgiveness after 20 or 25 years.
According to Federal Student Aid data, just under 2 million borrowers were enrolled in IBR as of the second quarter of 2025.
A notice posted on FSA’s website said that ongoing litigation with former President Joe Biden’s SAVE plan is preventing the administration from processing IBR forgiveness.
“Currently, IBR forgiveness is paused while our systems are updated to…