The Department of Education Approves $4.8 Billion in Student Loan Forgiveness for Over 80,000 Borrowers

Recent Adjustments in Income-Driven Repayment and Public Service Loan Forgiveness Lead to $4.8 Billion in Student Loan Forgiveness for 80,300 Borrowers

Biden Administration’s Latest Efforts: $4.8 Billion Student Loan Forgiveness for 80,300 Borrowers Affected by Payment Errors

Biden Administration’s Ongoing Student Loan Forgiveness Efforts Result in $132 Billion Relief for 3.6 Million Borrowers

President Biden’s Commitment: Continuing Swift Student Debt Relief Efforts

What Are the Latest Updates on Loan Forgiveness?

The latest student loan relief by the administration is aimed at borrowers in IDR or PSLF programs. According to the Department of Education:

• About 46,000 borrowers are set to receive $2.2 billion through improved IDR revisions, enabling better tracking and credit for payments towards forgiveness. Eligible borrowers must show proof of at least 20 years of qualifying payments without credit. This brings IDR relief to $44 billion for nearly 901,000 borrowers.
• Over 34,000 PSLF borrowers will get $2.6 billion in relief, including those utilizing the limited PSLF waiver and other program enhancements. This totals PSLF relief to $53.5 billion for almost 750,000 borrowers over two years.

Additional Initiatives Aimed at Eradicating Student Debt

The recent loan forgiveness updates are part of Biden Administration’s ongoing drive to alleviate student debt for both present and upcoming borrowers. This involves elevating Pell Grants to support families earning under $60,000 yearly.

Additionally, the administration has sanctioned $11.7 billion in relief for 513,000 borrowers with disabilities, and $22.5 billion for over 1.3 million borrowers affected by school closures, mishandled funds, or court settlements.

Article reference:https://www.forbes.com