Employee Services: Staff in Debt Should Try Savi | CU Boulder today
Federal student loan debt affects more than 43 million people in the United States. For University of Colorado faculty and staff, Civil Service Loan Waiver (PSLF) can offer relief, but the process of applying for and maintaining a PSLF repayment plan can be complex and difficult.
CU is announcing a new partnership between our retirement plan provider TIAA and social impact technology company Savi, which can help CU employees determine their PSLF eligibility and beat debt.
“I am excited about our partnership with Savi, who are experts in the federal loan forgiveness program,” said Michelle Martinez, director of strategic benefits initiatives at CU. “Savi is here to help, and if you’re eligible, you don’t want to miss this opportunity.”
Savi is a tool that acts as a guide for borrowers who want to discover their eligibility for loan forgiveness, then successfully apply for and maintain their payment plans. The PSLF program includes an income-based payment plan that can reduce a borrower’s debt repayment by $150 per month on average.
After 120 months of successful payments, borrowers can get their remaining balance tax-free.
All Indebted Employees Should Try Savi
PSLF application requirements and documentation can be complex and inflexible. The slightest mistake can result in a rejection, and tracking requirements and annual reports can derail an approved repayment plan.
Due to the complexity of the application process, individuals who have applied for the PSLF and been refused should not overlook this opportunity to verify their eligibility through Savi.
Savi lets borrowers know if they qualify, for free. From there, eligible faculty and staff can choose to apply or reapply on their ownWhere use Savi’s tools and resources to initiate the application process, as well as help manage their tracking and annual reporting requirements, for an annual fee of $60.
“I understand that the application process can be overwhelming and a rejection may have occurred due to an unknown error. This is why I encourage anyone with a student loan to apply,” Martinez said. .
Borrowers must apply by October 31
This year, it is crucial for borrowers to act quickly to assess their eligibility and apply for the PSLF. In October 2021, the requirements and benefits of the PSLF were expanded to include the Perkins, FFEL and DL loan programs and allow payments made before consolidation to count towards the 120 month benchmark.
These extended options will expire on October 31, 2022.
“The Waiver limited to forgiveness of civil service loans is a life-changing opportunity for public servants to take advantage of,” said Lindsay Clark, director of external affairs at Savi.
“Many student borrowers [who] have put in years and decades of work are finally receiving the forgiveness they deserve and have earned with this temporary opportunity. Borrowers should be sure to use Savi to see if they are eligible for immediate forgiveness or to agree before October 31.
Reimbursement is income-based
Debt cancellation is a significant opportunity for long-term financial relief, but the consolidation and repayment schedule that borrowers receive through the PSLF also offers short-term relief.
The PSLF repayment plan includes income-based calculations to determine a borrower’s monthly payments. As of December 31, 2021, projected debt savings for borrowers on a PSLF repayment plan averaged $1,800 per year.
“Even though debt payments are suspended, student loan debt continues to be a deep source of stress for many borrowers,” said Snezana Zlatar, head of counseling solutions at TIAA. “Our solution helps people know they’re on the right track to eliminating their student loans completely.”
“Reducing monthly student loan payments through Savi or eliminating student loan debt altogether means more income for households that can be allocated to long-term financial goals, such as saving for a secure retirement. .”
Learn more about Savi and get started
Savi offers two service options to CU employees:
- Free Student Loan Review: Quickly view your repayment plan options and potential savings by entering your personal information into Savi’s tool.
- Savi Essential Service: Apply for PSLF, track payments toward rebate, get convenient e-filing, one-on-one assistance, reminders and more for a $60 annual fee.
TIAA and CU have set up online resources to help employees learn more about Savi, what they’ll need to start the loan verification process, and find options for pursuing PSLF through Savi’s essential service or through themselves.
Faculty and staff can use this new enabling resource at any time, but may have a significantly greater opportunity for debt relief if they apply by October 31. Borrowers should get started with Savi’s free student loan check as soon as possible to determine their eligibility and have time to gather their information and apply for the PSLF before the October 31 deadline.