Karen Tongson is a University of Southern California Professor who finally got her student loan cancellation this year after 16 years of making payments.

Her goal was to pursue public service loan forgiveness. This program, which George W. Bush signed in 2007, allows non-profit and government workers to get their federal student loans forgiven after 10 years or 120 payments.

Although the program was plagued by issues, it has made people who do actually receive the relief rare.

People often think they can pay their loan cancellation fees, only to find out later. that they don’t qualifyThis is often for technical or confusing reasons. Lenders have been blamed for misleading borrowers and botching their timelines.

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Tongson (48), said that “Noone had any faith.” When I shared my plans with friends and colleagues, they said, “That’s not going to happen.”

Tongson then checked her student loans balance in November and discovered that it was down from $47,000 to $0. In addition, $20,000 was refunded by the U.S. Department of Education for years of overpayments.

The surprise that surprised her was due to reforms the Biden administration has been making to the loan program. The company has reviewed the applications of borrowers and retraced payments. It estimates that over 500,000 individuals may now be eligible for forgiveness. Others may also be eligible for refunds.

These are the details you should know about these new rules.

Administration now considers not only the number of qualifying payments made, but also the duration of the repayments. Elaine Griffin RubinEdvisors’ senior contributor and communication specialist.

Griffin Rubin said that even if your payments have been sporadic during the government’s student loan crisis, these months count towards public service loan forgiveness.

According to the statement, “Payments in federal student loans programs under any repayment plan are eligible for credit.” Mark KantrowitzHigher education specialist. “This covers late payment and partial payments.”

Additionally, the borrower will need to show that their work is considered public service during any period they are trying to be forgiven. In order to do this, your servicer will require you to complete a so-called employer certification formFor each employer that you have worked for throughout your career.

Kantrowitz stated that even if a borrower is currently in unemployment or has not been employed in public services, they may be eligible to receive forgiveness now if they have made 120 qualifying payments.

Some people seem to get forgiveness immediately after government audits of their accounts. However, these steps will ensure you are able to benefit from these new rules.

Betsy Mayotte (president of) stated that any payments exceeding 120 dollars will automatically be refunded, provided they occurred after consolidation. The Institute of Student Loan AdvisorsThe nonprofit

You can still receive a refund if you have 120 consecutive payments and some payments did not qualify.

Mayotte stated that the refunds should not have tax consequences.

However, some states may tax amounts forgiven under PSLF,” she said.