With less than a month remaining in his administration, President Joe Biden successfully honored one of his campaign pledges by canceling the student debts of roughly 55,000 borrowers. Would you like to ascertain your eligibility as a beneficiary? Continue reading to discover the specifics of this program.
This Friday, the Biden administration declared the forgiveness of debts for 54,900 student loan holders. This action results in a reduction of $4.3 billion in liabilities incurred by public service employees.
The inauguration of the new Donald Trump administration signifies relief for those borrowers who have consistently fulfilled their payment obligations. The president-elect has openly opposed student loan forgiveness and has shown intentions to dismantle many of President Biden’s initiatives.
Are you qualified to discharge your college debt?
On Monday, the Department of Education announced that the relief targets participants of the Public Service Loan Forgiveness Program (PSLF). If you are now enrolled in this program, you will soon see the elimination of your debt.
Eligibility requires that you have made a minimum of 120 monthly payments on your student loan. The Department stated that debtors who participated in the interim PSLF waiver in 2022 also benefited from this assistance.
“Four years ago, the Biden-Harris Administration made a pledge to America’s teachers, service members, nurses, first responders, and other public servants that we would fix the broken Public Service Loan Forgiveness Program, and I’m proud to say that we delivered,” said U.S. Secretary of Education Miguel Cardona.
What are the requirements to access the program?
The program is aimed at individuals currently participating in PSLF. The Department of Education did not clarify if beneficiaries will be notified regarding their debt forgiveness; however, it previously said that qualified individuals need not undertake further action.
If you are a PSLF beneficiary and have fulfilled the minimum payment requirements, monitor your account statements closely, as you may soon get an exceptional Christmas present.
