Education Department Reopens Applications for Older Student Loan Repayment Plans

The SAVE plan remains blocked by a court ruling, leaving borrowers with less generous options as processing delays are anticipated.

The Department of Education has restored access to applications for older income-driven repayment (IDR) plans, including IBR, PAYE, and ICR, after a month-long pause.
The SAVE and REPAYE plans remain unavailable due to a federal court injunction, limiting borrowers to less affordable repayment options.
Loan servicers are expected to resume processing IDR applications within two weeks, but delays are likely as systems are updated to comply with legal rulings.
The American Federation of Teachers recently filed a lawsuit against the Department of Education over the removal of IDR applications, highlighting ongoing legal disputes.
The Department is working on a revised version of the SAVE plan to meet court requirements, but it is not expected to be available until late 2025.