$50K & Beyond
SAVE Plan Ends: next Steps for Black Borrowers
Millions of federal student loan borrowers will face major changes beginning July 1, 2026. If you are enrolled in the SAVE Plan or relying on income-driven repayment, it is critical to understand how these changes may affect your monthly payment, loan forgiveness timeline, and repayment options.
What's Changing?
The SAVE Plan Is Ending
Borrowers currently enrolled in the SAVE Plan will no longer be able to remain in the program. Beginning in July, the U.S. Department of Education is expected to notify borrowers that they must select a new repayment option within 90 days.
Monthly Payments Could Increase
Borrowers who do not choose a new repayment plan may be automatically placed into a Standard or Tiered Standard Repayment Plan, which could result in significantly higher monthly payments.
A New Income-Driven Plan Is Being Introduced
A new Repayment Assistance Plan (RAP) will become available. While RAP offers income-based payments and some protections against growing balances, many borrowers could pay more over time and wait longer for forgiveness than under previous plans.
Borrowers Must Pay Attention to Servicer Communications
Critical notices regarding repayment options and deadlines will be sent by loan servicers. Missing these communications could lead to higher payments or loss of access to the most affordable repayment options.
What Borrowers Should Do Right Now
✓ Verify Your Contact Information
Log in to your Federal Student Aid and loan servicer accounts to ensure your email address, phone number, and mailing address are current.
✓ Watch for Notices Beginning in July
Read every communication from your loan servicer carefully. Important deadlines for selecting a new repayment plan are expected to begin this summer.
✓ Compare Your Repayment Options
Before enrolling in a new plan, review:
- Monthly payment amounts
- Forgiveness timelines
- Public Service Loan Forgiveness (PSLF) eligibility
- Total repayment costs over time
✓ Take Action Before the Deadline
Do not wait to be automatically assigned to a repayment plan. Borrowers who proactively select the best option for their financial circumstances may save thousands of dollars over the life of their loans.
Protect Black Borrowers, Fight for Our Future
Black borrowers are under attack. Find out how you can protect and fight for our future.
Pathways to Access PSLF and Other Forms of Student Loan Debt Relief
Public Service Loan Forgiveness (PSLF)
This program forgives the remaining balance on a borrower's Direct Loans after making 120 qualifying monthly payments while working full-time for a qualifying employer. Qualifying employers include government organizations, non-profit organizations, and other eligible public service organizations. It's important to note that if a borrower has multiple type of federal student loans, that borrower would need to consolidate all loans first.
Income-Driven Repayment Plan Forgiveness (IDR)
This plan bases the borrower's monthly payment on family size and discretionary income. Depending on these factors, borrowers could qualify for a lower monthly payment If a borrower still has a balance at the end of the repayment period, the remaining amount is forgiven. To learn more about IDR.
Perkins Loan Cancellation and Discharge
To qualify for this program, a borrower must be employed in certain public service sectors. These include employment in government agencies, the military, public schools or libraries, and non-profit organizations. A borrower may qualify for partial or full loan forgiveness.
Teacher Loan Forgiveness
This program forgives up to $17,500 in Direct Subsidized or Unsubsidized Loans or Subsidized or Unsubsidized Federal Stafford Loans for teachers who work full-time for five years at a qualifying school or educational service agency. Only certain subject areas are eligible for this program.
Borrower Defense to Repayment
This program provides relief to student loan borrowers who have been deceived by their schools, allowing them to discharge their federal student loans. To be eligible, the misconduct that a borrower experienced must be directly related to the student loans taken out or the educational service for which the loan was provided.
Closed School Discharge
This program cancels student loans for borrowers who were unable to complete their program due to school closure. Eligibility for the discharge is dependent on meeting certain criteria, including being enrolled at the time of the school closure or having the school close within 120 days after withdrawal. Qualifying loans include Direct loans, Federal Family Education Loan Program (FFEL) loans, and Perkins loans.
Discharge Due to Death
This provision forgives all federal loans, irrespective of whether they were awarded to the student borrower or the parent (e.g., Parent PLUS loans). Once the loan servicer receives proof of death, such as a death certificate, from a family member or a representative, the servicer initiates the process of discharging the loan. In the case of a private loan, the lender may have other provisions for discharging the loan in case of death.
Discharge in Bankruptcy
To qualify for this discharge, a borrower must file for Chapter 7 bankruptcy and also file a separate action called adversary proceedings, where the borrower must prove that repayment of loans would impose undue financial hardship. Not all student loans are eligible for discharge through bankruptcy. Federal student loans are generally not dischargeable, while private loans may be eligible.
False Certification Discharge
A borrower may be eligible for this discharge if the borrower took out direct or FFEL loans and the school of attendance falsely certified the borrower's eligibility to receive the loan. The borrower must be able to demonstrate that the school of attendance falsely certified eligibility for the loan.
Total and Permanent Disability Discharge
If a borrower has been certified as totally and permanently disabled, they apply for student loan discharge. In most cases, a borrower will need to provide medical documentation to verify their disability status. U.S. Department of Veterans Affairs (VA), the Social Security Administration (SSA), or a physician can verify disability status and assist a borrower in applying for this loan discharge.
Unpaid Refund Charges
A borrower may be eligible for unpaid refund charges if they have withdrawn from school and the college attended fails to return the necessary funds to the loan servicer. This type of discharge is available for both Direct and FFEL loans.
Education should be the key to financial freedom, not the barrier. Now more than ever, it is crucial that we continue the work necessary to ensure equitable access to education.
- Wisdom Cole, Senior National Advocacy DirectorADVOCATE TO CANCEL STUDENT DEBT
Join Our Thriving Community
It's one thing to succeed as a community - it's another thing to thrive. The time is now. By becoming a member of NAACP, you'll join a network of activists standing up to demand the cancellation of student debt.
Advocate for an Inclusive Economy
$10,000 of debt relief would eliminate student debt for only one-in-four Black borrowers and therefore blunt efforts to alleviate racial inequality. We advocate for the automatic cancellation of a minimum of $50k and discharging federal student loan debt for for-profit entities that no longer exist.
Share Your Student Debt Story
Collecting your stories helps us humanize the issue of student debt relief because it's not just about the policy. It's about the people who will be impacted. Help others understand the impact student debt has on individuals and the Black community as a whole.
Connect, Share, Advocate
Advocacy is in our DNA. Grab the tools you'll need to help make student debt relief and affordable education a starting point to a more equitable future.
Your Story Matters
View the stories on how student debt has impacted the lives of student loan borrowers to understand the impact student debt has on individuals and the Black community as a whole.
Share your student debt story
Why did you go after a college degree? How has student debt impacted your life? What would the cancellation of student debt mean to you?
Student debt impacts real people and has daily consequences. Add your story to the growing collection of reasons elected officials need to act to cancel student debt.
Sound Off: Student Loan Debt Stories
Tasha A., Student Loan Borrower
"The student loan debt has made it impossible for me to help my oldest pay for college without having to borrow additional plus parent student loan debt. It prevents me from saving money, saving for my retirement, and the thought of having to pay student loan debt until the day I die stresses me and causes undue anxiety. "
Jesse P, Student Debt Organizer
"Student debt is stressful. I had student debt during school as well. It's holding me back from my financial goals."
Mahogany B., Student Loan Borrower
"I am currently homeless; my debt to ratio due to my student loan is to high to receive an affordable loan to purchase a home yet I do not qualify for affordable housing. One of my paychecks every two weeks does not even cover the average cost of living in California."
Storytelling Tips
Collecting your stories helps us humanize the issue of student debt relief because it's not just about the policy. It's about the people who will be impacted. There are many ways to share your story. No matter how you choose to share, be authentic, be brief, and help others understand the impact student debt has on individuals and the Black community as a whole.
Student Lending Policy Updates
Driving Quality of Life through Data
NAACP and Brookings have partnered on The Black Progress Index, a new analysis of the places where Black people are thriving most, as measured through their life expectancy. In the spirit of W.E.B. Du Bois, we're working to provide insight into the local civic actions that can improve life expectancy outcomes.
Thank You To Our Partners
At 28 years old, I can't afford to start a family, I can't afford to buy a home, I can't afford to volunteer in my community, and I can't afford to go to the doctor. All of these things are now considered luxuries that I simply can't afford at this point in my life. All of my resources are dedicated to paying off student loans and interest rates.
- Jessica P., Student Loan Borrower