Wondering if now is the time to refinance your federal loans currently receiving student loan COVID-19 relief? Under normal times, most doctors refinance their federal student loans as soon as they no longer qualify for the Revised Pay As You Earn (REPAYE) subsidies and know they are not attempting to receive student loan forgiveness through the Public Service Loan Forgiveness (PSLF) or Income-Driven Repayment (IDR) Forgiveness Programs. For most, that means refinancing once they have an attending contract in hand. Naturally, private student loans can be refinanced at any time.
However, the last 15 months have been anything but normal from the perspective of federal student loan management. Back in March 2020, President Trump took executive action declaring coronavirus student loan relief. Those executive orders were subsequently extended by Congress, and then the Biden administration. Federal student loan borrowers have not had a mandatory payment since March 2020 and