White House Student loan forgiveness Scheme Launched
Biden government has opened the application process for Americans looking for student debt relief help in a beta period beginning Friday night
In August, President Joe Biden announced his decision to cancel up to $10,000 in student loan debt for individuals
making less than $125,000 a year or as much as $20,000 for eligible borrowers who were also Pell Grant recipients
Department of Education will begin beta testing the student debt relief website. During the beta testing period, borrowers will be able to submit applications for the Biden-Harris Administration’s student debt relief program,”
Anyone who applies for the debt relief in the beta period will receive a confirmation email, but their application will not be processed until the Fusite formally launches
Full fledged website is expected at a to-be-announced date before the end of October. Once processing begins, most qualifying borrowers are expected to receive debt relief within weeks
Those borrowers will not need to reapply if they submit their application during the beta test, but no applications will be processed until the site officially launches later this month.
This testing period will allow the Department to monitor site performance through real-world use, test the site ahead of the official application launch, refine processes, and uncover any possible bugs prior to official launch.”
In addition to federal Direct Loans used to pay for an undergraduate degree, federal PLUS loans borrowed by graduate students and parents may also be eligible if the borrower meets the income requirements.
Individuals who earned less than $125,000 in either 2020 or 2021 and married couples or heads of households who made less than $250,000 annually in those years are eligible for up to $10,000 of their federal student loan debt forgiven.
the “goal” is to begin to get the debt relief processed ahead of next January, when student loan payments will begin after a multi-year freeze amid the Covid-19 pandemic.
The form to apply will include information on the debt relief, who qualifies for it and how it works. It will ask applicants for information including their full names, Social Security number, date of birth, phone number and an email address.
White House will start to use its social channels to get the news out.