Interest Accrual for SAVE Plan Begins August 1
Student loan borrowers in the Saving on a Valuable Education (SAVE) Plan should be aware that interest will accrue on their student loans beginning August 1, 2025. Borrowers will have a higher monthly payment as they will be responsible for the principal amount along with any accrued interest when the SAVE forbearance ends. Interest will not be applied retroactively. Borrowers in the SAVE Plan should not experience any interest accrual prior to August 1, 2025.
Alternative Repayment Plans & Forgiveness
Borrowers can explore their repayment options, including income-driven repayment (IDR) plans, using the Department of Education’s Loan Simulator. SAVE borrowers working toward Public Service Loan Forgiveness (PSLF) must switch out of the SAVE Plan to an alternative IDR repayment plan to make qualifying payments towards forgiveness. You can apply for an IDR plan online or submit a paper application to your loan servicer.
File a Complaint
DISB is actively engaging with student loan servicers concerning wrongful interest accrual for SAVE borrowers prior to August 1, 2025, and income-driven repayment application delays. Student loan borrowers have a right to receive prompt, accurate and complete information about their loans, as well as timely application processing, from their student loan servicers. If you have concerns regarding your student loans, you can file a complaint here or you can reach out to the DISB Student Loan Ombudsman at 202.727.8000 or [email protected].