Key Points
- The Department of Education’s PSLF Buyback backlog had over 74,000 pending applications as of August 2025.
- Monthly court-mandated status reports have paused during the government shutdown but are set to resume once operations restart.
- Borrowers nearing 120 qualifying payments can still apply for PSLF Buyback, but processing can take up to a year.
Borrowers waiting for updates on the Public Service Loan Forgiveness (PSLF) Buyback backlog will have to wait a little longer. The federal government’s ongoing shutdown has effectively paused the release of new status reports that track the backlog, slowing visibility into how quickly applications are being processed (if at all).
Under an agreement in the American Federation of Teachers (AFT) lawsuit against the U.S. Department of Education, the department must file monthly status reports with the court documenting progress on both income-driven repayment (IDR) and PSLF Buyback processing. These reports provide one of the only public windows into how large the backlogs are and how quickly they are shrinking - or, as many borrowers now fear, growing.
The last available filing, submitted before the shutdown, reported an IDR application backlog of 1,076,266 as of August 2025 and a PSLF Buyback Option backlog of 74,510 applications. Processing is likely not happening during the shutdown, making progress slow even further.
Once the shutdown ends, the Department of Education will be required to file six additional monthly reports, starting 30 days after the government reopens. Until then, the next update remains on hold.
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What Is The PSLF Buyback Option?
The PSLF Buyback Program allows qualifying public service workers to “buy back” months of time that should have counted toward forgiveness because of periods of time spent in certain forbearances or deferments that were later deemed eligible.
Currently, many borrowers are trying to count their time in the SAVE forbearance. However, the program was designed to be an exception, not the rule. And with thousands of borrowers wanting to buyback time in this forbearance, the process has been far slower than many expected.
According to reports, borrowers have reported waiting up to a year for their buyback applications to be reviewed.
More Detailed Reporting Coming Soon
The AFT settlement requires the Education Department to publish detailed monthly updates outlining how both income-driven repayment (IDR) and Public Service Loan Forgiveness (PSLF) applications are being handled. Each report must include the number of applications received, processed, pending, approved, and denied.
For PSLF Buyback in particular, the reports track:
- The number of new applications received during the month
- The number still pending at month’s end
- The number processed, including approvals and denials
- The number of borrowers whose loans were discharged under PSLF that month
The past filings have been instrumental in giving the public a clearer view of how the department is handling long-standing issues. Advocacy groups and lawmakers alike have used the data to push for greater accountability and faster turnaround times.
But the current government shutdown has halted these updates, creating uncertainty for borrowers eager to see whether the department is making progress or simply falling further behind.
What Borrowers Should Expect Next
Once the shutdown ends, the Department of Education will resume filing its monthly backlog reports. The first new report is expected 30 days after federal operations restart, followed by five more monthly updates, per the court order.
In the meantime, borrowers who are close to reaching the 120 payment threshold for PSLF forgiveness should compare their options between buyback or simply resuming repayment - it may be equal payments and faster processing to simply do PSLF "the old fashioned way".
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Editor: Colin Graves
Robert Farrington is the founder of The College Investor and is widely recognized as one of the nation’s leading voices on student loan debt and saving for college. He holds an MBA from UC San Diego Rady School of Management and has spent over 15 years researching, writing, and advising on student loans, 529 plans, financial aid programs, and saving and investing for young professionals.
Robert has been featured in the The New York Times, The Wall Street Journal, The Washington Post, NBC News, and Forbes, where he has been a regular personal finance contributor for over a decade. His work combines both professional expertise and personal experience – he successfully navigated his own student loan repayment journey and has helped thousands of readers do the same.
He is committed to making the intersection of personal finance and education transparent and accessible. You can learn more about Robert on the About Page or on his personal site RobertFarrington.com.