Biden Student Loan Forgiveness: In a major victory for borrowers across the U.S., President Joe Biden has approved a total of $175 billion in student loan forgiveness since taking office. Nearly 5 million Americans have now benefited from this relief, with Thursday’s announcement of another $4.5 billion forgiven for over 60,000 borrowers. This round of forgiveness was achieved through critical reforms to the Public Service Loan Forgiveness (PSLF) program, which aims to ease the financial burden on public-sector workers like teachers, nurses, and first responders.
A Record-Breaking Achievement in Loan Forgiveness
Biden’s administration has surpassed all previous efforts to provide student loan relief, with over 1 million borrowers benefiting from PSLF under his leadership. Since its inception in 2007, PSLF has aimed to cancel student debt for government and nonprofit employees who make 10 years of qualifying payments. However, the program was plagued by technical errors, causing mass rejections before Biden took office. In some years, up to 98% of applicants were denied, leaving many borrowers frustrated.
“When Vice President Harris and I took office, only 7,000 people had ever received forgiveness through PSLF. We vowed to fix that, and today, we’ve delivered for over 1 million public service workers,” Biden said in a statement.
Who Benefits from the Latest Forgiveness?
Thursday’s announcement brings new hope to 60,000 borrowers, many of whom have been struggling under the weight of student debt for years. These borrowers, whose average balance sits around $70,000, will soon see their loans completely forgiven. This brings the total forgiven under PSLF alone to $74 billion.
The Biden administration’s actions extend beyond just the PSLF program. Over 1.6 million borrowers defrauded by predatory colleges have also seen their loans forgiven, and significant changes have been made for disabled borrowers. Altogether, Biden’s efforts have wiped out a staggering $175 billion in federal student debt. (Biden Student Loan Forgiveness)
Challenges and the Road Ahead
Despite the progress made, the battle over student loan forgiveness is far from over. The Supreme Court previously blocked Biden’s broader plan to cancel up to $20,000 in student loans for millions of low- and middle-income borrowers. Republican-led states have also challenged other relief programs in court, arguing that the Biden administration is overstepping its legal authority.
However, Biden remains steadfast in his commitment to providing relief for borrowers. “I will never stop working to make higher education affordable — no matter how many times Republican elected officials try to stop us,” the president vowed.
Vice President Kamala Harris has echoed this determination, promising to continue fighting for more comprehensive student debt relief. “Student debt is a barrier to people starting families, buying homes, and building their future. We need to give people relief, and we’re not done yet,” Harris said.
What’s Next for Borrowers?
Borrowers impacted by Thursday’s announcement will soon receive notices from the Department of Education confirming their debt cancellation. This relief comes just weeks before the November election, a reminder to voters of the Biden-Harris administration’s commitment to reducing the burden of student debt.
With continued legal challenges ahead, borrowers and advocates alike are hopeful that Biden’s targeted relief programs will provide much-needed financial breathing room for millions of Americans.
As the Biden administration continues its efforts to relieve the weight of student loan debt, nearly 5 million Americans are already seeing the benefits. With over $175 billion in debt forgiven and more efforts in the pipeline, Biden’s student loan forgiveness plan is one of the most ambitious and successful in U.S. history.
