Student loan payments for borrowers in the SAVE (Saving on a Valuable Education) plan are expected to resume most likely by mid-2026. Although interest on these loans began accruing again on August 1, 2025, payments are not yet required. The Department of Education's current timeline and legal uncertainties suggest that repayments will not start before December 2025, and the highest probability is for repayments to begin around July 2026, coinciding with the rollout of the Repayment Assistance Plan (RAP) and the migration of borrowers to an amended Income-Based Repayment (IBR) plan. Key points include:
- Interest resumes on August 1, 2025, but payments remain paused.
- The Department of Education expects to complete technical updates and notify borrowers starting around September 2025.
- Payment collections under SAVE are unlikely to start until at least late 2025, more likely mid-2026.
- Coordinated transition to new repayment plans (amended IBR or RAP) is expected by July 2026.
- The legal challenges around the SAVE plan have kept payment resumption in limbo.
Therefore, borrowers should prepare for payments to resume sometime between late 2025 and mid-2026, with mid-2026 being the most likely time frame for payment obligations to restart.
