The U.S. Department of Education has announced a significant milestone in the Public Service Loan Forgiveness (PSLF) program, marking the approval of $4.5 billion in debt relief for 60,000 borrowers. This brings the total number of public servants who have benefited from the program to over one million, with nearly $74 billion in loans forgiven.
Secretary Cardona highlighted this achievement during his remarks, noting that before President Biden took office, only 7,000 public servants had qualified for loan forgiveness under PSLF. "Today, we celebrate a milestone that four years ago would have been unthinkable," he stated.
Cardona attributed the success to efforts made by the Biden-Harris administration to address issues within the PSLF program that had previously hindered many from qualifying. He emphasized that the administration prioritized fixing PSLF from day one and implemented measures such as streamlining processes and conducting extensive outreach.
The Secretary acknowledged past challenges with the program, stating that it was plagued by "fine print technicalities, red tape, accounting errors," and indifference from previous administrations. He noted that when he assumed his role in 2021, many people viewed PSLF as a "cruel joke" or a "broken promise."
The changes have led to substantial progress. For example, more than 32,000 borrowers in Virginia, over 44,000 in Pennsylvania, and over 55,000 in Florida have received loan forgiveness. The Department is releasing state-by-state data to highlight the nationwide impact.
Reflecting on Senator Ted Kennedy's original vision for PSLF when it was established in 2007, Cardona quoted Kennedy's words: “this legislation gives young people a real opportunity... they can attend a fine college and then go on to one of these public service jobs and make a real difference in their community.”
Secretary Cardona also praised Under Secretary James Kvaal and his team for their dedication to reforming student debt relief programs like PSLF. Their efforts have contributed to delivering student debt relief to nearly 4.8 million Americans.
Cardona concluded by expressing pride in the lives changed through these efforts: "I could not be prouder of the lives we’ve changed together."
