OAN’s James Myers
7:54am – Wednesday, February 21, 2024
The Biden administration announced it will cancel an additional $1.2 billion in student loan debt for more than 150,000 borrowers six months ahead of schedule.
advertisement
President Joe Biden activated the Savings for Valuable Education (SAVE) plan policy, which will cancel debt for registered borrowers with student loans of $12,000 or less who have been paying them off for at least 10 years.
People with large amounts of debt can receive relief for every additional $1,000 they borrow and for each additional year of repayments.
The White House said in a statement: “The shorter forgiveness period will especially help community college and other small loan borrowers, putting more students on track to get out of their student loans faster than ever before. ” he said. “Under the Biden-Harris administration’s SAVE plan, 85 percent of prospective community college borrowers will become debt-free within 10 years.”
Meanwhile, Biden has now wiped out $138 billion in federal student loans from nearly 4 million borrowers without any action from Congress.
“From day one, President Biden vowed to fix the student loan system and make higher education a path to the middle class, not a barrier to opportunity,” the White House said.
About 153,000 borrowers will receive an email informing them of the latest relief package issued by Biden, the White House said.
Additionally, the U.S. Department of Education will begin contacting borrowers who are not enrolled in the SAVE plan but are eligible for relief and persuade them to enroll.
Since Biden took office, his administration has approved $56.7 billion in debt cancellation for more than 793,000 borrowers through the Public Service Loan Forgiveness (PSFL) program. $45.6 billion for 930,500 borrowers through income-based repayment improvements. $11.7 billion to 513,000 borrowers with total and permanent disabilities. and providing $22.5 billion to 1.3 million borrowers through his school closures.
“Today’s announcement sends a clear message once again to borrowers with low balances: If you’ve been making payments for 10 years, you’ve done your part,” said Education Secretary Miguel Cardona. He deserves to be saved.” “Under President Biden’s leadership, our administration has now approved loan forgiveness for nearly 3.9 million borrowers, and the historic fight to cancel student loans is far from over.”
But Republicans oppose the Biden administration’s student loan forgiveness, arguing that ultimately taxpayers will have to pay for it in the long run.
Stay informed. Receive breaking news directly to your inbox for free. Subscribe here. https://www.oann.com/alerts
Please share this post!
