There’s a way for student borrowers pursuing Public Service Loan Forgiveness to get their debt wiped away sooner than they might have expected.
But that program, called PSLF Buyback, has been experiencing some challenges of late.
Chief among them: As of July 31, there’s a 72,730-person backlog of borrowers waiting to have the Department of Education process their applications, according to a new court filing. That’s up from 65,448 borrowers as of the end of June.
Some of the borrowers CNBC has spoken with have been waiting for half a year or more for answers. Others have only a few months’ payments to make.
PSLF, which President George W. Bush signed into law in 2007, allows certain not-for-profit and government employees to have their federal student loans canceled after 120 payments, or 10 years.
