Biden administration announces $39 billion in student debt relief after Supreme Court strikes down last plan
More than 804,000 student loan borrowers will have their debt cleared in the coming weeks, eliminating more than $39 billion worth of payments due to a fix to income-driven repayment plans, the Biden administration announced on Friday.
“For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness,” Education Secretary Miguel Cardona said in a written statement.
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The announcement comes after the Supreme Court struck down President Joe Biden’s signature student loan forgiveness plan last month, which sought to eliminate an estimated $400 billion in student loans. Biden vowed to take additional action shortly after that decision was released, echoing early campaign promises he made in 2020 to ease student debt for millions of borrowers.
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