ED Shows Progress on IDR Backlog but PSLF Buyback Requests Remain Stalled
By Hugh T. Ferguson, NASFAA Managing Editor
The Department of Education (ED) has begun to make headway addressing its backlog of pending income-driven repayment (IDR) applications. Still, the backlog of applications for its Public Service Loan Forgiveness (PSLF) Buyback program has increased.
The latest data, provided through the fifth installment of a court-ordered status report, shows that from August 1-31, ED decided on 305,641 IDR applications with 1,076,266 pending. Back in May, when ED first began to report on IDR processing data, the IDR backlog stood at 1,649,874 applications.
As of August 31, the department decided on 5,600 PSLF buyback applications; however, there are now 74,510 pending. In the previous month’s status report, there were 72,730 pending applications. However, during this two-month period, ED has ramped up the number of decided applications, going from 3,280 to 5,600.
While ED has ramped up the number of decided applications for both forms, there remains a significant backlog to work through before a possible final court-ordered report is issued.
A recent NASFAA survey seeking to understand how ED’s RIF affects institutional operations, staffing, and student service found that institutions reported noticeable changes in Federal Student Aid (FSA) responsiveness or delays in processing timelines since the RIF. Specifically, 72% of 547 institutions reported noticeable delays or changes in FSA responsiveness since May 1.
According to the initial agreement, either party can request the court to terminate the need for additional reporting. However, if the court does not issue a further order, the reporting obligation will be terminated after ED provides six monthly reports. The October data set will be the sixth and possibly final report disclosed by ED.
“While we’re encouraged to see progress, we hope the courts will require continued reporting beyond the sixth installment,” said Megan Walter, senior policy analyst at NASFAA. “Borrowers left in limbo deserve to see the progress being made, and transparency through ongoing updates is essential until the backlogs are significantly reduced.”
Publication Date: 9/16/2025
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