Updated Information on Student Loan Debt Relief
On August 28th, the Department of Education and the Biden-Harris Administration announced a three-part Student Debt Relief Plan, to include:
- a final extension of the student loan repayment pause through December 31, 2022 [Update: On November 22,2022, the U.S. Department of Education announced an extension of the pause on student loan repayment, interest, and collections].
- for student loan borrowers with individual incomes less than $125,000 (or $250,000 for households), up to $20,000 in debt cancellation to Pell Grant recipients with loans held by the Department of Education, and up to $10,000 in debt cancellation to non-Pell Grant recipients. The relief includes current students and borrowers who have federally-held undergraduate, graduate, and Parent PLUS loans that have been fully disbursed by June 30, 2022.
- a new income-driven repayment plan that will substantially reduce future monthly payments for lower- and middle-income borrowers.
To apply for federal student loan debt relief, please visit: https://studentaid.gov/debtrelief/apply. For more information, including a set of Frequently Asked Questions, please visit https://studentaid.gov/debt-relief-announcement/one-time-cancellation. To be notified of Federal Student Loan Borrower updates, sign up at the Department of Education subscription page.