President Biden announced on Wednesday that individuals with up to $20,000 in student loan debt will be able to get it removed.
Those that are currently in student loan debt and make less than $125,000 will qualify for up to $20,000 debt cancellation for Pell Grants and $10,000 for non-Pell grants. Households earning less than a combined income of $250,000 will also qualify.
In addition to the loan forgiveness movement, the Biden administration has also included a break for individuals that are on repayment plans. Currently, a federal loan repayment pause has been in affect amidst the COVID relief movement.
Borrowers who are on student loan forbearance will have their payments extended until Dec. 31, 2022. Those that are on income-driven repayment, will have only 5% of their income taken towards payments, rather than 10%.