student loan forgiveness and what you need to know
The Biden administration has opened an application that will allow students across the nation to apply for up to $20,000 in loan forgiveness. Applicants can apply early in a beta period prior to the official launch of the website.
On Aug. 24, President Joe Biden announced a one-time student loan forgiveness plan which would allow students who make less than $125,000 a year ($250,000 for those who pay jointly) to receive up to $20,000 in loan forgiveness.
Are you eligible?
Borrowers who make less than $125,000 a year or $250,000 for those who pay joint taxes are eligible to receive $10,000 in forgiveness. Additionally, if you receive the Pell Grant, you are eligible to receive an additional $10,000.
Do you have to apply in order to receive loan forgiveness?
Yes. Loan forgiveness is not automatically granted to those who are eligible. Additionally, the Department of Education states that the applications won’t be processed until later this month. The website will also be paused periodically to avoid any bugs or glitches.
How to apply
The application will require the applicants to enter their social security number. Borrowers can apply through the website.
