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Biden Administration Announces $7.4 Billion in Student Loan Forgiveness

In a move aimed at alleviating the burden of student loan debt for millions of Americans, the Biden administration has announced another round of student loan forgiveness, totaling $7.4 billion. This latest announcement comes as part of President Biden’s ongoing efforts to address the issue of student debt in the United States.

The decision follows the U.S. Supreme Court’s rejection of President Biden’s initial student loan cancellation plan last June. Despite this setback, the administration has continued to pursue avenues for providing relief to borrowers struggling with student loan debt. Since then, President Biden has announced multiple rounds of student loan cancellations, amounting to a total of $153 billion.

On Friday, the Biden administration revealed that it would forgive student loan debt for an additional 277,000 borrowers. U.S. Secretary of Education Miguel Cardona emphasized the administration’s commitment to easing the financial burden faced by individuals grappling with overwhelming student loan debt.




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“As long as there are people with overwhelming student loan debt competing with basic needs such as food and healthcare, we will remain relentless in our pursuit to bring relief to millions across the country,” Secretary Cardona stated in a press release.

Under the latest announcement, more than 206,000 borrowers are set to have $3.6 billion erased from their student loan debt, with each borrower eligible for up to $20,000 in loan forgiveness. Additionally, an additional 65,000 borrowers will benefit from the Department of Education’s repayment plans tailored for low-income borrowers.

Furthermore, 4,600 borrowers will receive loan forgiveness through the government’s program designed for public servants. These measures aim to provide substantial relief to individuals from various backgrounds and income levels, ensuring that they can better manage their financial obligations and pursue their goals without the burden of crippling student loan debt.

As efforts to tackle student loan debt continue, many borrowers are hopeful for further relief in the future.