OPB’s First Look: Federal Student Loan Changes Leave Oregon Borrowers Confused and Worried

Good morning, Northwest.

This year, millions of Americans—including thousands of Oregonians—have been navigating a series of complicated and often confusing changes to the federal student loan system. For many, the adjustments were billed as an effort to simplify repayment and make higher education debt more manageable. Instead, borrowers say they feel misled, anxious, and in some cases paralyzed by uncertainty about what comes next.

Borrowers Feel Misled

For Monica Setti, who borrowed more than a decade ago to attend Portland State University, the new rules have brought frustration rather than relief.

“I don’t feel like this is what I said I signed up for at the beginning,” Setti said. Like many borrowers, she entered repayment under one set of assumptions only to find the system shifting beneath her feet.

Oregon’s Student Loan Ombudsman Lane Thompson agrees that confusion is widespread. “Part of what is causing anxiety for folks is that there are several things happening simultaneously,” Thompson said. “One of the biggest changes is that the SAVE plan no longer exists.”

The SAVE plan—originally rolled out as a replacement for older income-driven repayment programs—was one of several initiatives struck down or altered by recent court rulings and policy revisions tied to President Trump’s One Big Beautiful Bill, a sweeping reconciliation package.

A Patchwork of Changes

The U.S. Department of Education has maintained that these moves are designed to streamline repayment and ensure fairness. Officials argue that the reforms will help borrowers pay less over time, reduce interest accumulation, and prevent ballooning balances.

But for Oregonians trying to budget month-to-month, the reality feels different. Some borrowers who thought their payments would shrink have seen balances recalculated. Others are unsure whether their progress toward forgiveness still counts under the new rules.

“People are calling our office in tears,” Thompson said. “They don’t know whether to keep paying, pause, or apply for something new. The system is supposed to create clarity, but right now it’s doing the opposite.”

Charting a Path Forward

Financial counselors advise borrowers to:

Log into their Federal Student Aid account to confirm their loan status.
Read notices carefully, as deadlines for enrolling in new plans may be tight.
Consult nonprofit or state resources, such as the Oregon Attorney General’s Student Loan Help Program, before making major decisions.

“This is not a moment to make impulsive choices,” Thompson emphasized. “There will be more clarity in the coming months. Until then, patience and documentation are key.”

Albina One: A Step Toward Housing Justice

While borrowers wrestled with student loan questions, hundreds of Portland residents gathered over the weekend in Northeast Portland for the grand opening of Albina One, a 94-unit affordable housing complex.

The project sits on North Flint Avenue near the Moda Center and represents what leaders describe as a first step toward repairing the harm inflicted on Portland’s Black community through decades of urban renewal projects and the construction of Interstate 5, which displaced thousands of families in the Lower Albina neighborhood.

“This is more than housing,” said community leaders at the event. “It’s about restoring community and honoring history.”

OPB’s Bryce Dole reported from the scene, where speeches and celebrations highlighted the potential for Albina One to spark further development aimed at equity and inclusion.

Five Years After the Labor Day Fires

Oregonians are also reflecting on another painful chapter: the Labor Day wildfires of 2020, which devastated communities across the state.

In a special OPB series, reporters Francisca Benitez and Sheraz Sadiq revisited the hardest-hit areas, documenting both the lingering scars and the resilience of survivors. Families spoke of the terror they felt as flames consumed their homes and the difficult years of rebuilding that followed.

Meanwhile, OPB political reporter Lauren Dake examined how state leaders have adapted in the five years since the fires. Improved emergency coordination, investments in wildfire prevention, and updated evacuation systems are some of the changes put in place. Yet leaders admit vulnerabilities remain as hotter, drier summers increase the risk of future disasters.

In southern Oregon, reporter Roman Battaglia detailed recovery efforts along the Bear Creek Greenway, where the Almeda Fire left behind a barren, ashy corridor between Ashland and Phoenix. Restoring the landscape has required collaboration between government agencies, nonprofits, and volunteers—along with significant financial investment.

Spotlight on Renewable Energy Opposition

OPB investigative reporter Tony Schick, in collaboration with ProPublica, profiled Irene Gilbert, a 76-year-old retired state employee who has become an unlikely but formidable opponent of large-scale renewable energy projects in Oregon.

Gilbert argues that the environmental costs of certain wind and solar projects outweigh the benefits, particularly in rural areas where communities feel excluded from decision-making. Her legal challenges have slowed or halted projects, highlighting tensions between climate policy goals and local concerns.

Around the Northwest

At Work With: Oaks Park Ride Inspector

OPB’s Malya Fass profiled Sean Strauss, a ride foreman and inspector at Portland’s historic Oaks Amusement Park. Strauss, 50, oversees ride safety while embracing his own love of thrills.

“I think I’ve let my fear go,” Strauss said. “The more experience we have with something that makes us nervous or afraid, with a safe result, the more we can let go of fear. That’s a wonderful human thing to do.”

For Strauss, the park is both a workplace and a source of joy—proof that even amid strict safety checks, excitement and peace can coexist high above the city.

Navigating Uncertainty

From student loan confusion to housing justice, from the scars of wildfire recovery to the thrill of a safe amusement park ride, Oregonians are confronting challenges old and new.

For borrowers like Monica Setti, the coming months will be critical in determining whether the federal government’s promises of clarity and fairness materialize—or whether debt continues to weigh heavily on their lives.

As OPB reporters continue to track these developments, one theme runs through it all: in Oregon, resilience is not just a word but a way of life.