Federal student loan payments are resuming as the temporary suspension ends. If you were hoping for some forgiveness, the Supreme Court decision halted $430 million in student loan debt forgiveness, potentially impacting many with outstanding student loan debt.

Whether you’re starting student loan payments for the first time or resuming payments, it’s important to note that during the three-year-long pandemic, some lenders responsible for government debt management, including Pennsylvania Higher Education Assistance Agency and Granite State, are no longer debt holders. Your student loan debt is likely with a different service lender. You can check this on StudentAid.gov, although you should receive an email regarding the change and detailed instructions on the necessary actions. 

Before all these shifts kick in, you should adjust your payment plan to the SAVE plan. The SAVE Plan, short for "Simplified, Average-Based, and Voluntary Income-Driven Repayment Plan," determines your monthly payments by considering your discretionary income and family size. Starting in July 2024, borrowers with both undergraduate and graduate loans will make a weighted average payment, typically ranging from 5% to 10% of their income, based on their original loan balances. Furthermore, loan balances may become eligible for forgiveness if the initial loan was $12,000 or less after ten years of consistent SAVE repayments. Borrowers who enrolled during late summer will notice their adjusted monthly payment in the billing statement received in September, effective for their initial payment due in October.

You can call your current loan servicer to enroll you in SAVE, the most affordable monthly payment plan. You can apply for SAVE using the IDR application. No further action is needed if you're already in the REPAYE Plan or have applied for it recently. 

Anticipate a few additional adjustments in the process. You might need to establish a refreshed online account with their new loan servicing company. Any previous automatic payment plan will need to be revised, and you may need to reenroll, mainly if there are any discounts. Also, verify that your new servicer has your latest contact details to ensure seamless and efficient communication.

Safeguarding your financial well-being amidst these changes requires a solid grasp of the fundamentals. Ensure you're well-versed in loan details, from repayment plans and deferment options to potential forgiveness programs. Pay close attention to crucial factors like interest rates, loan terms, and your total loan balance. Effective student loan debt management involves crafting a comprehensive budget considering all monthly expenses, including loan payments. Finally, always remain open to loan consolidation for federal loans and refinancing options for federal and private loans, as they can be valuable tools for your financial stability.