President Joe Biden announced new round federal student debt forgiveness His administration announced this on Wednesday will provide relief 160,000 to borrowers.
The Education Department said it canceled $7.7 billion for some borrowers who received Public Service Loan Forgiveness, such as teachers, nurses and law enforcement officers.
Debt relief also applies to some borrowers who sign up for a relatively new income-based repayment plan. Known as SAVE and borrowers eligible for benefits that provide a “shortened grace period” as well as other adjustments to income-based payments.
According to the Department of Education, approved debt relief is $5.2 billion for about 67,000 borrowers through changes to Public Service Loan Forgiveness, $613 million for more than 54,000 borrowers through the SAVE Plan, and $1.1 million for more than 39,000 borrowers through administrative adjustments to income. .9 billion dollars included. justified payments.
The latest announcement follows the failure of a broader effort to reduce student debt. Supreme Court last year Rejected Biden’s pandemic debt relief planAiming to eliminate up to $20,000 in student debt for approximately 43 million borrowers.
A total of 4.75 million people benefited from debt relief, according to the Education Department, which added that the administration has now approved $167 billion in loan forgiveness.
Education Secretary Miguel Cardona said in a statement Wednesday that the administration is “persevering” with efforts to “relieve millions more of student debt across the country.”
Biden also touted debt relief in a statement, saying, “No matter how much Republican elected officials try to stop us, I will not stop working to eliminate student debt.”