The Department of Education reopened ‍requests for some of its largest student loan ‍repayment plans on ⁤Wednesday but did not offer a deadline too process them, possibly causing meaningful delays.

The department had⁢ closed ​applications⁣ for all​ income-driven repayment (IDR) plans in February after a U.S. Court of Appeals expanded a precautionary measure blocking the Biden administration’s Saving on a ​Valuable Education (SAVE) program.

This action ‍left millions of borrowers without access to plans that limit monthly payments to a percentage of their income, with the promise of loan forgiveness after 20 to 25 years.

The previous administration asserted‌ that⁤ the application closure was necessary to comply​ with the court order, which⁤ argued that a 1993 statute supporting ⁢SAVE and‍ two othre ⁣income-based plans (income-contingent repayment​ and payment according to income) ​did not authorize loan forgiveness.‌ However, the court order did not instruct⁣ the department to ban borrower access to these plans⁢ or to income-based repayment (IBR), created by Congress under ⁢an ‍independant⁤ statute.

While using a single application for‌ all income-based payment plans complicates access to each ‌plan individually, student advocates argue that the agency could ⁣have devised a‌ solution to help borrowers. A lawsuit was filed against the department, claiming that closing the application form harmed members, many ​of whom participate in the Public ‌Service Loan Forgiveness (PSLF) program.

The loan‍ forgiveness program, which eliminates a borrower’s student loan balance after 10 years of public service and payments, generally‌ requires applicants to enroll in an IDR plan.Because the department suspended the ⁣plans, ​people⁤ already participating could not recertify their income, as required to remain enrolled. This forced borrowers to switch to ‍more‌ expensive plans that, in some cases, doubled their payments. Those whose ⁣financial circumstances changed were also prevented from requesting a new calculation of their ⁤payments.

After ​a teacher’s union requested a temporary restraining order to compel the⁢ department’s action, department lawyers informed the court of their plans to resume accepting applications but ‍did not provide a deadline for processing them.

According to StudentAid.gov, the department stated that‍ loan servicers, the companies managing the government’s $1.6 trillion student loan portfolio,​ are still “updating their systems according to the actions of the court” and that “the servicers will begin to ‌process the applications in the near future.”

The Department of Education confirmed Wednesday that borrowers requesting an IDR plan will be placed ‍in what is known as⁢ processing forbearance. This will ⁣postpone their payments for up to 60 days, during which they will still receive credit toward PSLF and IDR.The forgiveness component of most income-based ‍plans remains paused⁣ due to the court order, but‍ the‌ department is moving forward with debtors ‍who⁣ have reached⁢ or are close to ​reaching the milestone ⁢of 20 or 25 years to switch ⁤the IBR plan ⁢to receive forgiveness.

Many PSLF‍ participants have been eager to switch from the SAVE plan to another income-based option to continue paying and accumulate credit toward ⁤forgiveness. The 8 ⁤million people ‍enrolled in⁢ SAVE have been in forbearance for eight‌ months due to ⁣the⁢ current demand to end the program, but the type of forbearance⁣ they received does not count ​toward⁤ the forgiveness program.

All these people have the right ⁣to payment plans​ that allow them to cancel their⁤ loans⁢ and that are affordable, and that has ⁢been⁣ denied. ‍Delaying ​the processing of these requests will only cause more ‌damages.

Executive deputy ⁤director of the​ Student Borrower‌ Protection Center