As of June 2023, data from the Federal Student Aid website indicated that approximately 43.4 million recipients of student loans had amassed outstanding loans totaling $1.63 trillion.
In a recent announcement, US President Joe Biden disclosed the cancellation of student debt amounting to nearly $5 billion for an additional 74,000 borrowers. Notably, more than half of these borrowers had earned forgiveness after dedicating a decade to public service roles such as teaching, nursing, and firefighting.
The latest move by the Biden-Harris administration in the White House contributes to a cumulative loan forgiveness tally of $136.6 billion, benefiting over 3.7 million Americans. Among the approved relief recipients, around 44,000 individuals had fulfilled ten years of public service, while nearly 30,000 borrowers had been repaying loans for over two decades without obtaining relief through income-driven repayment plans.
Despite the Supreme Court's June 30 ruling that blocked Biden's plan to cancel a significant amount of debt, the President reiterated his commitment to pursuing student debt relief vigorously. Biden asserted that he would utilize all available tools to provide the necessary relief for student loan borrowers, enabling them to pursue their aspirations.
Education Secretary Miguel Cardona affirmed that the Department of Education is actively advancing efforts to offer more extensive debt relief to additional borrowers. He emphasized the commitment to expedite loan forgiveness through a new SAVE repayment plan.
As of June 2023, the outstanding student loan balance reached $1.63 trillion for approximately 43.4 million recipients, denoting an increase of nearly $17 billion in outstanding loan balance and an upsurge of nearly 600,000 in the number of student loan recipients compared to the previous year, as reported by the Federal Student Aid website.
The issue of student loan debt has been a longstanding concern for progressive voters, a key segment of the coalition that contributed to Biden's election in 2020. Advocates have consistently urged the White House to address this matter. The significance of student loan debt remains high on the agenda for younger voters, many of whom expressed concerns about Biden's foreign policy decisions, particularly regarding the conflict in Gaza, and critique the administration for not achieving more substantial debt forgiveness.
