Biden Administration Announced Forgiveness of Another $9 Billion in Student Loans

Nearly 125 thousand citizens who have debts derived from student loans will benefit from the administration headed by Joe Biden upon the announcement that another $9 billion dollars will be forgiven.

The public service will begin to study the cases of borrowers who have been classified in an income-based repayment (IDR) plan and from this they could be benefited through the forgiveness of their debt.

Until now, It is mentioned that 53 thousand citizens will enter the Public Service Loan Forgiveness program, while another 51 thousand will access through an IDR plan.

Something similar awaits 22 thousand borrowers who suffer from a total or permanent disability.

According to information from the authorities, borrowers included in the IDR plan have been making payments for more than two decades without obtaining the student debt benefit that they were promised.

In this sense, People who have held a government or nonprofit position for more than a decade can access the public service loan forgiveness program.

However, the government initiative will only benefit a small sector of borrowers, since It is known that more than 45 million people have student loan debt.

About, Miguel Cardona, Secretary of Education, indicated that there are already more than 3.6 million borrowers who have benefited from the president’s initiatives.

“For years, millions of eligible borrowers were unable to access the student debt relief they qualified for, but that all changed thanks to President Biden and this Administration’s tireless efforts to fix the broken student loan system.

The rigorous approach of the Biden-Harris administration on reducing bureaucracy, addressing past administrative failures and prioritizing borrowers has now resulted in a historic $127 billion in debt relief approved for nearly 3.6 million borrowers“, he indicated.

In this sense, the administration is analyzing some mechanism to help borrowers whose balances are greater than what they originally owed.

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