Does Refinancing Student Loans Disqualify You From Biden’s Forgiveness Plan?

President Joe Biden hosts a meeting of his Competition Council to receive an update on progress his Administration has made to increase competition in the American economy and lower prices for the American people, Washington, District of Columbia, USA - 01

As Americans await the Supreme Court’s decision on President Joe Biden’s student loan forgiveness plan, you may be wondering if you can still qualify for any student loan forgiveness if you refinanced your loans.

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The answer, as with so many things related to finance, is: it depends.

First, it’s important to note that private student loans will not qualify for any forgiveness, regardless of the Supreme Court decision. So, if you have private student loans, refinancing could save you money — even with interest rates on the rise.

However, if you have federal student loans, you’ll want to wait to refinance. If you refinance, you’ll lose all the benefits of federal student loans. According to, these benefits may include:

  • Income-driven repayment plans.
  • Student loan forbearance.
  • Student loan forgiveness for those in public service careers.
  • Postponement options.

Of course, if Biden’s plan to forgive up to $20,000 in federal student loan debt passes, that loan forgiveness is a huge advantage to those with a federal student loan.

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It’s likely the battle to pass student loan forgiveness isn’t over. If the Supreme Court overturns the program, the justices will likely release the rules in “late June or early July,” according to CNN.

Biden has said that student loan payments would resume 60 days after the litigation over the forgiveness program is resolved — or at the end of August, whichever comes first.

That means if you have federal student loan debt, you still have some time before payments resume (and to consider if refinancing would be the right choice for you at that time).

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For now, it’s a smart move to take the money you would be putting toward student loans and pay down other debt. That way, you may be able to improve your credit score to get a lower interest rate if you decide to refinance in the fall.

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About the Author

Dawn Allcot is a full-time freelance writer and content marketing specialist who geeks out about finance, e-commerce, technology, and real estate. Her lengthy list of publishing credits include Bankrate, Lending Tree, and Chase Bank. She is the founder and owner of, a travel, technology, and entertainment website. She lives on Long Island, New York, with a veritable menagerie that includes 2 cats, a rambunctious kitten, and three lizards of varying sizes and personalities – plus her two kids and husband. Find her on Twitter, @DawnAllcot.
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