Joe Biden Forgives $39 Billion In Student Loan Debts, Applicants Are Only Eligible After 20 – 25 Years Of Payment

Applicants Are Only Eligible After 20 – 25 Years Of Payment

Joe Biden is continuing his efforts to eradicate student loan debt for millions of Americans.

According to reports, the administration just announced it has forgiven $39bn (£29.7bn) in student loan debt for 804,000 borrowers who have income-driven repayment plans.

Now don’t start leaping for joy too fast! There are stipulations. The amount relieved is a result of “fixes” made to repayment plans that are income based.

 

View this post on Instagram

 

A post shared by The Neighborhood Talk (@theneighborhoodtalk)

The move would fix administrative errors that meant some borrowers’ payments did not count toward them qualifying for student loan relief, the education department said.

So what does that mean exactly? If you’ve been making payments for 20-25 years and your payments are income-based, you now qualify for relief. Borrowers are only eligible after 20 or 25 years of payments the administration said.

If you can recall, The Supreme Court found the Biden administration overstepped its authority with its previous program, which would have forgiven about $10,000 per borrower, and up to $20,000 in some cases.

However, a win is a win!