Biden administration to forgive $7.4 billion in student debt for another 277,000 borrowers

The Biden administration has once again expanded its efforts to provide relief to student loan borrowers.

After its previous plans were struck down by the Supreme Court, the Department of Education has been directed to improve existing loan forgiveness programs.

As a result, the department has forgiven $153 billion in student debt for 4.3 million people since President Biden took office.

In the latest round of forgiveness announced last Friday, another 277,000 borrowers will have $7.4 billion erased from their debt.

Over 206,000 borrowers will benefit from the new Saving on a Valuable Education (SAVE) plan, which allows for faster debt forgiveness for those with smaller loan balances.

Additionally, fixes to income-driven repayment plans will assist 65,000 borrowers, while improvements to the Public Service Loan Forgiveness program will benefit 4,600 public servants.

The Biden administration has made it easier for borrowers to qualify for debt forgiveness through these programs, which were previously plagued by inaccurate tracking and complicated rules.

By improving oversight and addressing technicalities, they are providing more people with the relief they need.

While this latest round of forgiveness is a significant step, advocates continue to push for broader debt cancellation to address the growing student debt crisis.

The administration’s commitment to examining its existing authority and implementing improvements indicates an ongoing effort to alleviate the burden of student loans for millions of Americans.