Biden Cancels $1.3 Billion Of Student Loans — His Plan For Student Loan Cancellation Is Becoming Clear

President Joe Biden just cancelled $1.3 billion of student loans, and his plan for student loan cancellation is becoming clear.

Here’s what you need to know.

Student Loans

If you have been following the latest on student loan cancellation, Biden cancelled student loans for the second time this month. First, Biden cancelled $1 billion of student loans for 72,000 student loan borrowers. Today, he cancelled another $1.3 billion of student loans for 41,000 borrowers with total and permanent disability. Collectively, Biden has cancelled $2.3 billion of student loans for more than 110,000 student loan borrowers. Biden also won’t make an additional 190,000 student loan borrowers with disabilities show documentation proving their earnings. 

While many student loan borrowers are applauding Biden’s actions, America has reacted to student loan cancellation in different ways. For example, some student loan borrowers are grateful to get student loan relief. Others say this student loan cancellation doesn’t go far enough. For example, $2.3 billion of student loans represents only 0.1% of the $1.7 trillion of student loan debt outstanding, according to the latest student loan debt statistics. While approximately 110,000 student loan borrowers will get relief, this only represents 0.2% of all 45 million student loan borrowers.