Federal Student Loans For Nearly 153,000 Borrowers Are Being Automatically Canceled, Biden Says

President Joe Biden announced the automatic cancellation of federal student loans for nearly 153,000 borrowers under the new SAVE program. This initiative, part of a broader repayment plan offering a quicker route to forgiveness, will see the first round of cancellations clearing $1.2 billion in loans for those who have been repaying for a decade and borrowed $12,000 or less. The announcement, made during Biden’s campaign tour in California, comes ahead of the original schedule, with the administration starting to notify beneficiaries via email. This move aligns with Biden’s efforts to alleviate the financial burdens of education, aiming to enable Americans to advance their personal and professional lives without the weight of student loans. Over 7.5 million people have enrolled in the SAVE plan.

Source: AP News