Biden to cancel up to $10,000 in student debt for most borrowers, extend payment pause

President Joe Biden arrives to board Marine One at Gordons Pond State Park in Rehoboth Beach, Del., Wednesday, Aug. 24, 2022, to travel back to the White House.

If his plan survives legal challenges that are almost certain to come, it could offer a windfall to a swath of the nation in the run-up to this fall’s midterm elections. More than 43 million people have federal student debt, with an average balance of $37,667, according to federal data. Nearly a third of borrowers owe less than $10,000, and about half owe less than $20,000. The White House estimates that Biden’s announcement would erase the federal student debt of about 20 million people.

Details of the plan have been kept closely guarded as Biden weighed his options. The administration said Wednesday the Education Department will release information in the coming weeks for eligible borrowers to sign up for debt relief. Cancellation for some would be automatic, if the department has access to to their income information, but others would need to fill out a form.

Tweeted Rep. Pramila Jayapal, the chair of the House Progressive Caucus: “This will bring real relief to 43 million people and is a MASSIVE step in the right direction.” Biden narrowed his campaign promise in recent months by embracing the income limit as soaring inflation took a political toll and as he aimed to head off political attacks that the cancellation would benefit those with higher take-home pay.

Well I got the Pell grant every semester so I assume I get the 20. Well that takes care of interest 😂

Education Education Latest News, Education Education Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Biden canceling $10,000 in student loan debt for most, extending payment pauseBREAKING NEWS: President Biden announces he is forgiving up to $10,000 in federal student loan debt for millions of Americans and an additional $10,000 for low-income borrowers while extending a pause on monthly payments. He’s a riot , isn’t he? How many votes was he secured from this purchase?
Source: cbschicago - 🏆 546. / 51 Read more »

Biden to cancel $10,000 in student loan debt for borrowers earning less Than $125,000The debt forgiveness, although far less than the amount that some Democrats had been pushing for, comes after months of deliberations over fairness and fears that it could exacerbate inflation before the midterm elections. Better to help our kids than Ukraine
Source: sfexaminer - 🏆 236. / 63 Read more »

Biden set to announce $10,000 federal student loan cancellationPresident Joe Biden is soon set to announce his long-delayed move to forgive up to $10,000 in federal student loans for many Americans and extend a pause on payments to January.
Source: dothaneagle - 🏆 337. / 59 Read more »

Biden announces student loan debt relief planU.S. President Joe Biden said on Wednesday his administration would forgive student loan debt for many borrowers and would extend a pause on student loan repayments until Dec. 31 of this year.
Source: Reuters - 🏆 2. / 97 Read more »