FOR IMMEDIATE RELEASE
April 08, 2024
Contact: Emma Bittner
(972) 510-3395 | Emma.Bittner@younginvincibles.org
Two Steps Forward for Student Loan Debt Relief, But More to Go
(Washington, DC) – Today, the Biden-Harris Administration released details on a series of new plans to provide crucial debt relief for tens of millions of borrowers, bringing the total number of borrowers eligible for forgiveness under the Biden-Harris Administration to over 30 million.
In another attempt to proceed with broad student loan relief after the Supreme Court blocked the initial plan, the Biden-Harris Administration is preparing to publish a set of plans that provides a new path to freedom from student debt, emphasizing opportunities for those who experience hardship paying their loans. As a result, up to $20,000 in accrued interest on balances will be waived automatically regardless of income, and borrowers eligible for forgiveness under the Saving on Valuable Education (SAVE) plan, closed school discharge, or Public Service Loan Forgiveness (PSLF) who are not enrolled in programs will automatically receive relief.
In addition, borrowers who have been in repayment for over 20 years with undergraduate loans and 25 years with graduate loans will have their student debt eliminated automatically. The Department of Education released state-by-state breakdowns detailing the significant relief borrowers have received thus far as a result of Income-Driven Repayment (IDR), PSLF, SAVE Forgiveness, and Total and Permanent Disability Discharge (TPD).
This set of plans attempts to relieve a historic number of borrowers of debt and inches the Biden-Harris Administration closer to following through on President Biden’s promise to cancel student debt.
In response, Satra D. Taylor, Director of Higher Education and Workforce Policy and Advocacy at Young Invincibles, said:
“Millions of borrowers pursued higher education with the promise of economic opportunity but now are burdened with lifelong debt. Young adults, especially from communities of color, should not be penalized for pursuing upward economic and social mobility opportunities. Borrowers have been diligently awaiting Biden’s promised broad student debt relief, and this set of plans finally brings us closer to fulfilling that promise.
As seen in the state-by-state breakdown, millions of borrowers, especially those in California, New York, and Texas, are seeing substantial relief through efforts from the Biden Administration. This new set of plans will capitalize on relief currently underway and offer new pathways to financial opportunity for borrowers saddled by debt.
Our fight is far from over. The Biden Administration must finish the job and remain committed to finding an equitable solution to this crisis, especially for current students who have yet to interface with the broken student loan system.”
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Young Invincibles (YI) is a national advocacy and policy nonprofit organization focused on amplifying the voice of young people in the political process at the local, state, and federal levels. YI focuses on issues impacting young adults ages 18 to 34 in higher education, health care, economic security, and civic engagement. Our offices include Washington, D.C., California, Colorado, Illinois, New York, and Texas. For more information, please contact Emma Bittner at (972) 510-3395 or emma.bittner@younginvincibles.org