Apr 12, 2024 - Politics & Policy

Biden administration cancels another $7.4 billion in student loans

Illustration of a graduation cap with a sales tag on the tassel

Illustration: Sarah Grillo/Axios

The White House on Friday announced another round of student loan cancellations for nearly 277,000 borrowers.

The big picture: The Biden administration has now doled out $153 billion in student debt relief for 4.3 million people through various actions.

  • After the Supreme Court blocked the president's signature student debt cancellation plan last year, the administration found workarounds to provide borrowers relief.
  • President Biden announced another plan earlier this week to provide student debt cancellation for more than 30 million people.

Zoom in: The latest action will cancel $7.4 billion dollars in debt for 277,000 people across the country.

  • Of those receiving discharges, nearly 207,000 borrowers are enrolled in the SAVE plan, 65,000 people are in income-driven repayment plans and 4,600 are through fixes to Public Service Loan Forgiveness.
  • Those who are approved for the loan cancellations will start receiving emails on Friday.

Zoom out: "Thanks to this Administration's efforts, around one out of every 10 Federal student loan borrowers has now been approved for some debt relief," according to the White House.

What they're saying: President Biden pledged in a statement Friday that he will "never stop working to cancel student debt – no matter how many times Republican elected officials try to stop us."

  • "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," he said.

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