Tuesday marks deadline to qualify for debt ‘adjustment’ [Video]

(NEXSTAR) – Student loan borrowers have until the end of Tuesday to qualify for a program that could help them pay down their debts.

Related video above: Biden forgives $7.4B more in student loan debt (Aired: Apr. 12, 2024)

To take advantage of the one-time “adjustment,” federal loan borrowers first must submit a loan consolidation application by April 30, 2024. If you decide to consolidate your loans into a Direct Consolidation Loan, you can do so for free.

For people with multiple student loans, consolidation converts them into one monthly bill with a fixed rate. This one-time adjustment is meant to show a more accurate payment count for student loan borrowers.

The payment count adjustment will look at time in repayment, deferment, forbearance or economic hardship, among other factors.

Borrowers with these types of loans must consolidate first to take advantage of this one-time adjustment:

• Commercially managed Federal Family Education Loan (FFEL) loans
• Parent PLUS loans
• Perkins loans
• Health Education Assistance Loan (HEAL) Program loans

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