What another Trump term could mean for Virginians' student loan relief
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President-elect Trump could do away with his predecessor's years-long efforts to erase student debt.
Why it matters: Virginians have the fourth highest amount of average student debt per borrower in the nation.
The big picture: Trump has repeatedly bashed the Biden administration's student loan forgiveness plans but has not said how he would handle the mounting debt in another White House term.
- The president-elect has also vowed to dismantle the Department of Education, which is the loan holder for most federal student loans.
- The Trump campaign did not immediately respond to Axios' request for information on the president-elect's plans for the department or for student loan relief.
By the numbers: Around 1.1 million Virginians owe just over $43 billion in student loans, or an average of $40,136 per borrower.
- The higher than the national average per borrower, which is about $36,200.
- D.C. leads the nation in student debt, owing around $54,800 per borrower, followed by Maryland ($43,692) and Georgia ($42,026).
Catch up quick: After the conservative-majority Supreme Court blocked Biden's signature student loan forgiveness plan last year, his administration still found ways to deliver relief to some borrowers by circumventing the need for Congressional or court approval.
- The president used the Department of Education's existing authority to provide more than $168 billion in relief to more than 4.7 million borrowers since 2021.
Yes, but the next Trump administration could roll back the efforts through similar regulatory changes.
- "The future of student loan debt forgiveness may be in jeopardy with an incoming Trump administration, which may be unlikely to appeal rulings in the ongoing lawsuits targeting the SAVE plan and Biden's Plan B," NerdWallet lending expert Kate Wood told Axios.
- On the other hand, Wood said, plans created by Congress, like Public Service Loan Forgiveness, "could be tougher to eliminate but could also be made less accessible."
Zoom out: Republican-led states have sought to undercut Biden's efforts by filing lawsuits to block relief initiatives and income-drive repayment plans like Saving on a Valuable Education (SAVE), which is currently blocked amid a legal battle.
- The president unveiled a new forgiveness plan this spring, which is also facing legal challenges in a GOP-backed push.
Go deeper: Biden's brief win in battle for student loan forgiveness scuttled in court