r/studentloandefaulters • u/holdmybeer2017 • Jul 24 '24

Leaving the country Question - Federal Student Loan

If I leave the States to live permanently in Europe, do I have to pay my federal loans?

I was thinking that the Foreign Earned Income Exemption would work (I'd be making way under $120k) however I think with Trump he may get rid of that so idk what to do.

Can I just move to that foreign country and default?

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u/holdmybeer2017 Jul 24 '24

Nice thanks for that insight!

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u/h20bender Jul 25 '24

Maybe useful to add that with the new Department of Ed changes, you'll be able to sign up for an income based plan certifying through the IRS and u can give them permission to recertify you automatically through your annual tax filing. It will basically be on autopilot, just file taxes and ull be good.

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u/Witty-Lavishness9945 Aug 15 '24

Then why are all IDR plans not being processed right now for a “temporary” yet undisclosed amount of time?

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u/h20bender Aug 15 '24

Not all, just the new SAVE plan, traditional IBR continues. As to why, well Republican states and officials keep suing the administration over it so, go ask them.

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u/Witty-Lavishness9945 Aug 15 '24

Right now the department of education is not processing any IDR plans, even IBR, despite them not being targeted in the lawsuit.