In an announcement on Oct. 4, 2023, the Biden-Harris administration unveiled an additional $9 billion in student debt relief, marking a significant milestone in their endeavors to address the issues plaguing the U.S. student loan system. These measures, coupled with critical reforms to income-driven repayment (IDR) and Public Service Loan Forgiveness (PSLF) programs, along with automatic relief for borrowers facing total and permanent disabilities, have propelled the total debt cancellation by the Biden-Harris Administration to a staggering $127 billion, benefiting nearly 3.6 million borrowers.
"For years, millions of eligible borrowers were unable to access the student debt relief they qualified for, but that's all changed thanks to President Biden and this Administration's relentless efforts to fix the broken student loan system," declared U.S. Secretary of Education Miguel Cardona. "The Biden-Harris administration's laser-like focus on reducing red tape, addressing past administrative failures, and putting borrowers first have now resulted in a historic $127 billion in debt relief approved for nearly 3.6 million borrowers. Today's announcement builds on everything our administration has already done to protect students from unaffordable debt, make repayment more affordable, and ensure that investments in higher education pay off for students and working families."
The relief measures include:
Public Service Loan Forgiveness (PSLF) Programs: An astounding $5.2 billion in additional debt relief has been allocated to 53,000 borrowers who have dedicated their careers to public service.
Income-Driven Repayment (IDR) Plans: A total of nearly $2.8 billion in new debt relief has been extended to nearly 51,000 borrowers. These individuals, who have been in repayment for 20 or more years but were never granted the relief they were entitled to, will now see a significant reduction in their student loan burdens.
Relief for Total and Permanent Disabilities: A noteworthy $1.2 billion has been earmarked for nearly 22,000 borrowers who are grappling with total or permanent disabilities.
The impact of these relief efforts has rippled across the nation, with borrowers in various states benefiting significantly. From Alabama to California, Florida to New York, and Texas to Georgia, millions of Americans are finding relief from the crushing weight of student debt, heralding a new era of accessibility and affordability in higher education.
