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Trump Administration's IDR Backlog Sparks Lawsuit Over Delays

9/28/2025

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Summary

Story summary

President Trump's administration faces a forgiveness backlog: 1.3 million IDR plans pending (July 31, 2025).
The American Federation of Teachers (AFT) filed a lawsuit over IDR/PSLF processing delays, warning of irreparable harm.
Department of Education (DOE) has a new repayment system that eliminates previous plans, complicating relief.
From January 1, 2026, changes to repayment plans could raise payments and taxes.

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Story summary

President Trump's administration faces a forgiveness backlog: 1.3 million IDR plans pending (July 31, 2025).
The American Federation of Teachers (AFT) filed a lawsuit over IDR/PSLF processing delays, warning of irreparable harm.
Department of Education (DOE) has a new repayment system that eliminates previous plans, complicating relief.
From January 1, 2026, changes to repayment plans could raise payments and taxes.