Student-loan borrowers who received the wrong monthly repayment amount are being told to reapply
The U.S. Department of Education has instructed 6,000 student-loan borrowers to reapply for income-driven repayment plans due to a technical glitch that caused incorrect payment calculations. This follows ongoing frustrations regarding the implementation of new student-loan repayment policies.
Why it matters
It highlights systemic administrative failures in the federal student loan system that directly impact the financial stability of thousands of borrowers.
Some student-loan borrowers have to reapply for an income-driven repayment plan after receiving the wrong payment amount. Getty Images 6,000 student-loan borrowers were told to reapply for an income-driven repayment plan. It follows a glitch that resulted in borrowers receiving an incorrect payment amount. The borrowers who received the email were those who manually updated their family size. You might have to resubmit your student-loan repayment application. The Department of Education confirmed to Business Insider that 6,000 student-loan borrowers received emails from Federal Student Aid to resubmit their income-driven repayment applications. "Due to an error, you received an incorrect monthly payment amount," the email said. In June, the department confirmed to Business Insider that borrowers who shared their federal tax information with Federal Student Aid received incorrect $50 payments . Servicers corrected the payments and notified some affected borrowers that they did not need to submit a new application.
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