Over 800,000 borrowers countrywide will receive debt relief over the next 30 days, according to the Education Department and the White House.
The Biden Administration approved $39 billion in federal student loans for 804,000 students who will benefit from income-driven repayment remission. (Photo: The Lebanon Reporter)
$39 billion in federal student loans for 804,000 students
The Biden Administration approved $39 billion in federal student loans for 804,000 students who will benefit from income-driven repayment remission, according to the news release. Borrowers who qualify will not be required to do any aspect to be eligible for loan forgiveness.
Borrowers having Direct Loans or Federal Family Education Loans maintained by the education department (including Parent PLUS loans of any type) who have reached a forgiveness level defined by the department are eligible for President Joe Biden’s forgiveness plan. U.S. Secretary of Education Miguel Cardona stated in a statement published by The Journal Gazette that debtors have fallen through the gaps of a flawed system that has failed to maintain proper track of their progress toward forgiveness. He said that the income-driven repayment program helps to address this.
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The Department of Education Continues Actions to Those Deserving Grantees
According to an article published by the Lebanon Reporter, debtors are eligible for forgiveness if they have collected the equivalent of either 20 or 25 years of qualifying months, depending on their loan type and IDR plan. Officials from the Department of Education have stated that they will continue to identify and contact borrowers who meet the appropriate forgiveness levels.
In relation to The Lebanon Reporter, President Joe Bien’s forgiveness plan includes borrowers with Direct Loans or Federal Family Education Loans held by the education department (including Parent PLUS loans of either type) who have reached the department’s specified forgiveness threshold.
President Joe Biden has made clear that he will continue to look for strategies to make college accessible to all Americans.
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