the Public Service Loan Forgiveness program helps qualified teachers and public servants eliminate their student loan balances after working in the field for 10 years and making 120 qualified monthly loan payments. However, some PSLF borrowers who should have received forgiveness last year may be administratively blocked. stop payment.

To help, the PSLF Buyback program offers eligible borrowers in the PSLF program the opportunity to “buy” payment-free months into forgiveness while their loans are in forbearance or deferment.

The buyback option can help some borrowers get immediate debt relief, but it’s not a shortcut to speeding up your progression to PSLF, he said. Elaine Rubindirector of corporate communications at Edvisors.com. You must have hit ten years of service and meet other conditions to be eligible. If you’ve only been in your teaching position for five years, for example, you can’t use this program to pay off your remaining five years of payments to get debt relief now.

Here’s how to find out if you’re eligible for the buyback program and how to apply.

Read more: 6 Actions Student Borrowers Should Take Before The White House Transitions

What is the PSLF buyback program?

The PSLF Buyback Program allows you to buy back certain missed payment months to count as qualifying payments under PSLF, which can facilitate debt cancellation for a small number of eligible borrowers.

For example, if you are a teacher who has worked for 130 months in the role, you have exceeded the required 10 years to qualify for public debt forgiveness. But if your student loan is in deferment or forbearance for 15 months, you may only have paid 115 months. Usually, this means that you are not yet eligible for forgiveness under the PSLF program.

Under the government’s PSLF Buyback program, you can now pay (in a lump sum or through multiple payments) within 90 days to cover the 5 months it takes to meet your obligation and receive the relief of debt.

What amount do you need to buy back? That depends on how many months you fall short of the 120 goal and how much your monthly payments are. If you’re on an income-driven payment plan, your monthly payment can be as low as $0, Rubin says. But if your monthly payment is $200 and you’ve only made 117 payments, you’ll need to pay $600 to complete the purchase process.

After you submit an application requesting a buyback, the government will detail the total amount you must pay your servicer within 90 days to clear your remaining balance.

Who is eligible for PSLF buyback?

There are several requirements to be eligible for a PSLF buyback:

In other words, you can’t request a buyback if you don’t have 10 years of service, and the buyback doesn’t apply to defaulted loans or discharged loans.

You can check your PSLF eligibility payments at StudentAid.gov, the central dashboard for this program. You can take a look more detailed information about eligibility requirements here.

How do I apply for the PSLF buyback program?

Here is the the steps to apply for the PSLF buyback program:

1. If you have unreported periods of qualifying work, submit them by using the PSLF Help Tool.
2. Looking forward to the review of how your adjusting the payment count available for PSLF credit.
3. Confirm the missing payment months you want to buy and make sure you have approved qualifying work for the same months (see how verify these months).
4. Submit a buyback request through Change in PSLF.
5. Wait to hear from StudentAid.gov about your final payment amount.

Rubin cautioned that the application is a bit confusing. “Sorry, but make sure your information is on file,” said Rubin.

You can check the status of your application through StudentAid.gov.

Can I apply for PSLF buyback if I am enrolled in SAVE?

Yes, you can apply for PSLF buyback if you are enrolled in the Saving on a Valuable Education plan. the SAVE programan income-driven repayment plan, considered an eligible form of forbearance under the PSLF buyback.

Payments have been on hold for SAVE borrowers since the summer, so if you’re a PSLF borrower who could have received loan relief in the fall or winter, you’re a prime candidate for the buyout program.

How long will the PSLF buyback program be open?

Rubin said the PSLF buyback program is currently open, and there is no hard deadline for applications.

That said, once you submit your application and determine your purchase amount, you have 90 days to make the purchase payment to your loan servicer. If you fail to pay the total amount within that time frame, you will have to start over with a new application.

With a new administration coming to the White House, the long-term fate of the PSLF buyback program is unclear. Rubin recommends taking the time now, while the PSLF buyback is still available, to find out if you qualify and submit your application.