Biden Cancels Another $1.2 Billion in Student Debt

President Biden announced the latest tranche of student debt cancellations: $1.2 billion for approximately 153,000 borrowers, bringing the total to $138 billion in debt canceled for roughly 4 million borrowers. 

The president made public remarks about this latest action during a speaking event at a library in Culver City, California. 

“Early in my term, I announced a major plan to provide millions of working families with debt relief for their college student debt,” Biden said. “Tens of millions of people in debt were about to be canceled—their debts. But by MAGA Republican friends in the Congress, elected officials, and special interests stepped in and sued us and the Supreme Court blocked it. They blocked it. But that didn’t stop me; I announced we were gonna pursue alternative paths for student debt relief for as many borrowers as possible. That’s the effort that’s been underway the past two years.” 

Biden’s original program, which would have wiped out up to $20,000 in student loan debt for more than 40 million borrowers, was struck down by the conservative supermajority on the United States Supreme Court in 2023.

Anticipating this, the president unveiled the Saving on a Valuable Education (SAVE) repayment plan. Borrowers can qualify for the forgiveness program if they enroll in SAVE and “have been making at least 10 years of payments, and have originally taken out $12,000 or less for college.”

Recipients of relief will receive an email from the president saying, “I hope this relief gives you a little more breathing room.”

Video credits: CBS