For the second week in a row, the Biden administration announced the following: another round Federal student loan cancellations announced Friday press release From the White House.
Biden plans to phase out student loan debt after the Supreme Court last year struck down the president's illegal total debt cancellation plan that would have forgiven $10,000 in federal student loan debt for individuals and couples with annual incomes of less than $125,000. We are currently working on a plan to reduce this to zero. Annual income is less than $250,000.
On Friday, Biden announced his administration would cancel about $5 billion in debt for an additional 74,000 borrowers. Many of those affected by this latest cancellation are teachers, nurses, and firefighters.
“Of the 74,000 borrowers approved for relief today, nearly 44,000 are teachers, nurses, firefighters, and others who received clemency after 10 years of public service; “These are people who have been making payments for at least 20 years, but have not received the relief that income-based repayment plans provide,” a White House press release said.
The recent cancellations stem from the administration's changes to income-based forgiveness and public service loan forgiveness programs.
More than 3.7 million Americans have had their federal student loans wiped out since President Biden took office, the administration said. The so-called debt relief paid to taxpayers totals more than $137 billion.
Last Friday, Biden announced that borrowers who borrowed less than $12,000 and have made payments for at least 10 years would have their debt canceled under his administration's “Precious Education Savings Plan,” Blaze・The news previously reported.
“This action will particularly help community college borrowers, low-income students, and those struggling to repay their loans,” the White House said.
During the 2020 coronavirus lockdown, the federal government suspended student loan repayments. This repayment suspension ended in October.
According to recent information, Research by Intelligent.comBlaze News previously reported that millions of federal student loan borrowers are still refusing to pay, hoping the boycott will force the Biden administration to cancel most or all of their outstanding debt. .
“Of the one-quarter of borrowers who are in default, 9% say they intentionally boycott payments as a way to pressure the federal government to cancel their federal student loan debt.” This was revealed through an investigation.
Many of the 1,000 borrowers who took part in the poll said the boycott would draw attention to the debate over student loan debt and even force political candidates to consider canceling it altogether.
The Biden administration reiterated that it “will not back down from using every tool at our disposal to give student loan borrowers the relief they need to realize their dreams.”
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