The Biden administration announced on Thursday (July 18) the cancellation of $1.2 billion in student debt for 35,000 public service workers. This move brings the total number of Americans who have benefited from various debt relief actions to 4.76 million, with each borrower receiving an average of over $35,000 in debt cancellation. The latest round of debt forgiveness is part of the Public Service Loan Forgiveness (PSLF) program, which aids public servants such as teachers, nurses, and law enforcement officers.
“These 35,000 borrowers approved for forgiveness today are public service workers who have dedicated their lives to strengthening their communities,” President Joe Biden said in a statement.
The PSLF program, created in 2007, has been expanded by the Biden administration to make it easier for borrowers to qualify. The program allows for student debt cancellation after ten years of monthly payments while working in a qualifying public-sector job for a non-profit or the government.
The Biden administration has now waived a total of $168.5 billion in debt for nearly 4.8 million Americans, according to a statement from the Department of Education. This represents about 1 in 10 student loan borrowers.
Despite the significant progress, the administration’s efforts to provide more relief were thrown into turmoil last month when two courts issued temporary injunctions against the Biden administration’s flagship student loan repayment plan, known as the Saving on a Valuable Education (SAVE) plan.
Despite these challenges, President Biden remains committed to making higher education affordable.
“From day one of my administration, I promised to fight to ensure higher education is a ticket to the middle class, not a barrier to opportunity. I will never stop working to make higher education affordable – no matter how many times Republican elected officials try to stop us,” Biden said.
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