The Public Service Loan Forgiveness program (PSLF) is temporarily suspended until July as the Biden administration makes improvements. During this time, borrowers will not be able to see their payment counts on the MOHELA website, and applications for loan forgiveness will not be processed. However, borrowers can still make payments, and those payments will count towards loan forgiveness once the transition is complete. Borrowers can request a forbearance if they qualify for debt cancellation during the transition.
Shenita Leslie, a 40-year-old Houstonian, achieved financial independence by setting financial goals, creating multiple income streams, and living a frugal life. Despite student loans and the economic downturn, she prioritized debt repayment, budgeting, and well-being. Now debt-free, Shenita has redefined the American dream by valuing freedom above material possessions, inspiring others to pursue their own financial goals.
The Biden administration has forgiven $7.4 billion in student debt for 277,000 borrowers. This is possible through improved oversight of income-driven repayment plans and the Public Service Loan Forgiveness program. Over 4.3 million people have had their federal education loans cleared, totaling $153 billion in aid, since Biden took office.
President Biden will soon announce his student loan forgiveness plan, which will potentially benefit millions of Americans. Despite being narrower than his initial proposal, the plan could erase up to $20,000 in interest and forgive debt for certain groups, including those with existing repayment programs, long repayment histories, questionable schools, or financial hardships. This plan aims to fulfill Biden's campaign promise and differentiate him from potential opponent Donald Trump, who opposes student debt relief.
The Biden administration has forgiven almost $144 billion in student debt for around 4 million people. Those who don't qualify yet can check their eligibility for forgiveness programs like Public Service Loan Forgiveness, income-driven repayment plans, and over 100 other state-sponsored programs. Keep track of your progress towards meeting program requirements and take advantage of updates that make it easier to obtain forgiveness.
The Biden administration has forgiven $5.8 billion in student debt for 77,700 public service workers, such as teachers, nurses, and firefighters. This is part of a larger effort to address issues with the Public Service Loan Forgiveness program, which has faced administrative hurdles in the past. Additionally, President Biden will notify 380,000 public service workers that they'll be eligible for debt forgiveness within two years if they continue to meet program requirements.
