ALBANY, N.Y. (WENY) – Governor Kathy Hochul signed legislation to expand access to the federal Pubic Service Loan Forgiveness program across New York.
According to the governor’s office, the bill removes barriers to accessing the program by clearing up the legal definitions of key terms such as “certifying employment” and “public service employer.”
“If you spend your days working for the people of New York, you shouldn’t spend your nights worrying about how to pay us back. This legislation acknowledges the significant contributions of our public servants, first responders, educators and more, by helping unlock federal loan forgiveness for countless members of New York’s workforce,” Governor Hochul said. “From the workers who ushered us through the pandemic to the everyday heroes who keep New York moving, public-sector and not-for-profit workers deserve to make the most of this benefit – but without headaches, delays, or confusion. I’m proud to sign this legislation that ensures public servants have the clarity and the support they need to access federal loan forgiveness, and I thank my partners in the Legislature for their thoughtfulness on this bill.”
PSLF is a federal program that rewards public service work by cancelling a portion of borrowers’ federal student loans.
The program requires borrowers to be full-time employees of an eligible public service employer and make 120 qualifying payments towards their student loan. Then, the remainder of their federal student loan debt is forgiven.
Currently, approximately 2.7 million people in New York work in the public or nonprofit sectors.
Since 2007, the PSLF program has helped eligible public service workers receive an average of $61,402 in debt relief.