Biden administration kicks off student loan debt forgiveness process

Biden administration kicks off student loan debt forgiveness process

The Biden administration has kicked off the student loan debt forgiveness process.

Updates on the process will be sent via email before the window to apply opens in October.

These email updates from the Department of Education will be sent only to Americans who signed up for updates.

President Joe Biden announced his decision to cancel up to $10,000 in student loan debt for individuals making less than $125,000.

He also announced $20,000 for eligible borrowers who are also Pell Grant recipients.

The US Department of Education will launch a short online application for student debt relief in October.

Students don’t need to upload any supporting documents or use their FSA ID to submit their applications.

The nonpartisan Congressional Budget Office said that the cancellation could come for $400 billion.

Biden’s student debt move was hailed by some but few Democratic economists warned it could worsen inflation.