CRNA Student Loan Update: Interest Resumes August 1—What You Need to Know
(Updated July 16, 2025)
Heads up, CRNAs and SRNAs—student loan interest is back. The brief calm under the SAVE plan is ending, and a federal court just ruled the interest subsidy unlawful. Starting August 1, 2025, unpaid interest begins accruing again unless your monthly payment covers it.
Your loan servicer will send formal notice—but waiting for that email is not the move. Here’s what matters now, in plain language, with clear steps for how to protect your budget and long-term forgiveness strategy.
1. SAVE Plan: Interest Resumes August 1
After a year-long pause, SAVE’s interest waiver ends. Any unpaid interest will start accruing again unless your payment fully covers it.
👉 If you’ve been in the forbearance window (intended to shield borrowers during the SAVE lawsuit), this means you’re coming off the bench and back into the game—with interest starting Day One.
For CRNAs in forbearance: This pause also meant you weren’t earning forgiveness credits under PSLF or IDR. If you’re aiming for forgiveness, staying in forbearance = stalled progress.
📌 Action Step: Consider switching back into active repayment before August 1 if you’re working full-time for a nonprofit and want to resume racking up PSLF credit.
2. New Plan Incoming: RAP Launches July 2026
The Repayment Assistance Plan (RAP) is set to take over next year. Here’s the quick breakdown:
- Launch Date: July 1, 2026
- Replaces: SAVE, PAYE, and ICR
- Forgiveness: 30 years
- Interest: Subsidized—unpaid interest won’t snowball
- Payments: 1%–10% of discretionary income
- Minimum Payment: $10/month
- Monthly payments expected to be ~25% higher than SAVE
🧠 Think of RAP as SAVE 2.0—less generous, but still income-based and interest-protected.
3. IBR: The Legacy Option That’s Still Around
Income-Based Repayment (IBR) remains an option:
- Loans after 7/1/2014: 10% of income, 20-year forgiveness
- Loans before 7/1/2014: 15% of income, 25-year forgiveness
- Important: No interest subsidy—unpaid interest is capitalized
📌 Best suited if you don’t qualify for PSLF or if RAP/SAVE options don’t fit your situation.
4. SRNAs: Strategy Matters More Than Ever
If you’re in school now, the plan you pick later could define your first decade out of training. Key points:
- You’ll be able to enroll in RAP once it goes live in July 2026
- Most SRNAs will qualify under either RAP or IBR (depending on when your loans were disbursed)
- Expect a $200K lifetime cap on federal grad loans under new proposals
- PSLF is still available post-grad if you work for a nonprofit
🔍 Tip: Don’t rush into repayment or refinancing just yet. If your income is zero, defer or stick with SAVE until RAP opens.
5. Why Most CRNAs Should Stick With SAVE—for Now
Switching plans now may trigger income recertification, and if your income has climbed, your new payment could surge. Especially relevant if your original SAVE payment was based on outdated income (2019 or earlier)—as was common due to the application backlog.
💡 The Department of Education only started processing backlogged IDR applications in May 2025, with a 3-week turnaround. If you filed recently, confirm your new payment amount.
Also note: if you filed your taxes jointly, that household income is now being pulled directly from IRS data—thanks to DOE’s new integration. If you’re married and trying to keep payments lower, the “married filing separately” strategy may not work under certain plan transitions like REPAYE.
📌 Heads-up: If you’re using tax filing status to manage your student loan payments, coordinate that with your advisor before your 2025 tax return is filed.
More on interest restart → Investopedia
6. When Refinancing Might Make Sense
Refinancing can be a powerful tool—but only for the right CRNA:
- High, stable income (no plans for PSLF)
- Debt-to-income ratio near 1:1 or better
- Preference for a fixed payment schedule
- Willing to give up federal protections
Current fixed rates: 5.5–6% (subject to credit and term)
Check refinance rates on SoFi →
7. PSLF Still Going Strong
Working for a nonprofit? Still interested in Public Service Loan Forgiveness (PSLF)? Nothing’s changed here—you need:
- 120 qualifying payments
- Full-time work at a 501(c)(3) or government employer
- Enrollment in an IDR plan (like SAVE, RAP, or IBR)
📌 If you’ve been in forbearance due to SAVE litigation, you weren’t earning credit. Restart repayment now to stay on track.
TL;DR: Your CRNA Loan Strategy Timeline
| 🗓️ Date | 📝 Action |
|---|---|
| Aug 1, 2025 | Interest resumes under SAVE |
| July 1, 2026 | RAP officially launches |
| July 1, 2028 | SAVE, PAYE, and ICR officially sunset |
| Right Now | Assess SAVE vs. RAP vs. IBR or refinance |
Final Thoughts: Stay Calm, Stay Strategic
This moment matters. Whether you’re just finishing clinicals or five years deep into practice, your loan strategy can either save you thousands—or cost you years.
- Chasing PSLF? Stay current, recertify, and consider exiting forbearance now.
- Earning more? Watch out for income recertification surprises.
- Married? Your tax filing status might be quietly raising your payments.
- Considering private refinancing? Know the trade-offs before you commit.
💬 Let’s Talk Through It
You’ve got enough on your plate. Let’s build a plan that actually fits your life and your career.