Student Loan Forgiveness in 2021: The Legal and Political Issues

Just 5% of those applying for public service loan forgiveness got it

Our Loan relief granted to defrauded for-profit college students PDFs

This newsletter is a weekly version of POLITICO Pro's everyday Education policy newsletter, Early morning Education. POLITICO Pro is a policy intelligence platform that integrates the news you need with tools you can use to do something about it on the day's biggest stories. Act on the news with POLITICO Pro.  daily student debt forgiveness us  has actually been grappling for months over whether to accede to progressive needs to cancel big swaths federal student loan debt.

As the administration weighs those major choices, Education Department officials have stated they're concentrated on improving the existing debt cancellation programs targeted at particular populations of debtors: those who have actually ended up being severely disabled or were defrauded by their college, and public service workers. A brand-new chest of federal data sheds some light on how the Biden administration is approaching debt relief for these students: In 2007, Congress created a program meant to eliminate federal trainee loan debt for customers who pay their loans for 10 years while operating in public service.

What Trump did: The very first cohort of debtors became eligible for forgiveness throughout the Trump administration, which had by then repeatedly proposed removing the program. The Education Department rejected the large bulk of the hundreds of countless customers who requested loan forgiveness. By roughly the end of the Trump era, roughly 6,000 debtors had their student loans forgiven.

Student Loan Forgiveness Is Missing From Biden's Infrastructure Plans

The Basic Principles Of Biden supports student loan forgiveness, but borrowers

2020 and April 2021 the final months of the Trump administration and very first few months of the Biden administration. (It's difficult to identify specifically the number of borrowers made an application for loan forgiveness and were rejected throughout that time since of the brand-new way the information is reported.)And the new data reveals a large paperwork stockpile at the Education Department; nearly 130,000 borrowers who got loan forgiveness or asked for an upgrade on their development towards loan forgiveness were still awaiting responses at the end of April.