President Joe Biden announced another round of student loan debt forgiveness Thursday, totaling $1.2 billion for 35,000 public-sector workers including teachers, nurses and firefighters.
The borrowers qualify for the debt relief through the Public Service Loan Forgiveness (PSLF) program, which was created nearly two decades ago and expanded by the Biden administration’s efforts to make it easier to qualify.
The plan offers the most generous repayment terms for low-income Americans by reducing their monthly payments and creating a faster path to debt relief.
Just 7,000 people had ever received debt relief under the program previously, according to the White House.
Biden has been using existing student loan forgiveness programs to deliver relief to certain groups of borrowers.
Since last fall, the Biden administration has also been working on a set of new student loan forgiveness proposals.
For example, those whose student loan balances are bigger than what they initially borrowed could see their accumulated interest wiped way. »
