More than 153,000 student loan borrowers will soon receive an exciting message in their inbox — an email from President Joe Biden informing them that they qualify for early loan forgiveness, the president announced at Culver City’s Julian Dixon Library on Wednesday, Feb. 21.
Biden’s latest executive action will provide an additional $1.2 billion in debt forgiveness to borrowers enrolled in his Saving on a Valuable Education (SAVE) repayment plan.
“This kind of relief can be life changing for individuals and for their families and it’s good for the economy,” said Biden. “By freeing millions of Americans from the crushing debt of student loans, it means they can finally get on with their lives, instead of their lives being put on hold.”
This debt cancellation means borrowers can think about buying a home, starting a family and putting money in savings, instead of “working like a devil” and still seeing their debt grow under the nation’s “broken student loan system,” he said.
In total, the Biden administration has approved nearly $138 billion in student debt cancellation for 3.9 million borrowers — an considerable figure that nonetheless pales in comparison to the $400 billion Biden sought to cancel before the Supreme Court struck down the effort last year. The SAVE Plan is Biden’s plan B.
“Early in my time I announced a major plan to provide millions of families with relief for their college student debt,” said Biden. “But MAGA Republican hands in congress, elected officials and special interests stepped in and sued me and the supreme court blocked it, but that didn’t stop me.”
The lucky 153,000 email recipients will be the first to benefit from a SAVE Plan policy that provides loan forgiveness to borrowers who have been making payments for at least ten years on loans of $12,000 or less.
The president, meanwhile, benefits from the upbeat messaging in an election year and the chance that many of the millennial borrowers…
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