Biden administration to forgive $7.7 billion in student debt for more than 160,000 borrowers [View all]

[BumRushDaShow]

Source: CNBC

Published Wed, May 22 2024 5:00 AM EDT


The Biden administration said on Wednesday that it would forgive $7.7 billion in student loans for more than 160,000 borrowers, its latest effort to reduce the burden of education debt on households.

The relief is a result of the U.S. Department of Education’s improvements to its income-driven repayment plans and Public Service Loan Forgiveness program. “The Biden-Harris Administration remains persistent about our efforts to bring student debt relief to millions more across the country,” said Education Secretary Miguel Cardona in a statement.

Wednesday’s loan forgiveness includes $5.2 billion for 66,900 borrowers pursuing Public Service Loan Forgiveness, and $1.9 billion for 39,200 people enrolled in income-driven repayment plans.

Another $613 million will go to 54,300 borrowers under the Biden administration’s new income-driven repayment option, known as the Saving on a Valuable Education, or SAVE, plan. That option leads to student loan forgiveness after 10 years for those who originally borrowed $12,000 or less.

Read more: https://www.cnbc.com/2024/05/22/biden-administration-to-forgive-7point7-billion-in-student-debt.html

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Link to White House STATEMENT - Statement from President Joe Biden on $7.7 Billion in Student Debt Cancellation for 160,000 Borrowers