Latest Round of Debt Relief Comes as Biden-Harris Administration Withdraws Series of Draft “Plan B” Debt Relief Rules
December 20, 2024 | WASHINGTON, D.C. — Today, the Biden-Harris Administration announced another wave of life-changing student loan debt relief for an additional 55,000 first responders, educators, nurses, and other public service workers. In total, the Biden-Harris Administration has approved an unprecedented $180 billion in student loan debt relief for nearly 5 million Americans with student debt.
Additionally, the Administration announced that it is withdrawing unfinished rules that would have established a pathway for further debt relief for more than 38 million Americans. The announcement comes as millions of working families with student debt brace for a second Trump Administration that has pledged to reverse debt relief efforts and make student loan debt even more unaffordable.
In response, Persis Yu, Deputy Executive Director and Managing Counsel of the Student Borrower Protection Center issued the following statement:
“We applaud President Biden and Vice President Harris for delivering relief to an additional 55,000 public service workers. President Biden’s fixes to the Public Service Loan Forgiveness program and other student loan relief programs have once again delivered lasting change and will benefit millions of borrowers for years to come.
“We are deeply disappointed that the actions of right-wing attorneys general have blocked tens of millions of borrowers from accessing critical student debt relief. Their attacks on working families have pushed millions further into debt, all in an effort to score political points. President Biden’s proposals would have freed millions from the crushing weight of the student debt crisis and unlocked economic mobility for millions more workers and families. We are deeply grateful to President Biden for the work he did to fight for the 40 million borrowers trapped in student debt.
“As borrowers brace for an administration beholden to corrupt corporate interests and that has already broken promises to lower costs, we pledge to keep up the fight to protect borrowers and call on the Biden-Harris Administration to act swiftly in its final days to continue to help as many borrowers as possible.”
Further Reading
SBPC press release on publication of draft student debt relief rules: “Advocates Applaud Unveiling of Biden-Harris Administration Proposal to Support Student Loan Borrowers Experiencing Hardship”
SBPC report detailing Missouri borrowers complaints to MO Attorney General: MO Borrowers, MO Problems: How One MAGA Attorney General Tried to Break the Student Loan System and Drive His Own Constituents Deeper Into Debt
SBPC press release on Letter Campaign to 18 Attorneys General Demanding They Stop Blocking Debt Relief: “Student Loan Borrowers Demand Partisan Attorneys General Stop Attacking Student Debt Relief”
SBPC press release on the Kansas and Missouri injunctions temporarily halting SAVE: “A Recipe for Chaos”: Missouri and Kansas Judges Temporarily Halt Borrowers’ Access to Lower Student Loan Payments, Debt Relief
June 2024 letter signed by nearly 230 advocacy, labor, and civil rights groups came together to urge the Biden Administration to swiftly and urgently unveil its NPRM to provide student loan debt relief to borrowers experiencing hardship: See here
May 2024 comment, which includes a cover letter that spotlights 15 borrower stories, and a petition signed by 22,337 borrowers and nearly 5,000 individual borrower testimonials: See Here
May 2024 coalition comment in support of student debt cancellation: See Here
May 2024 SBPC public comment offering technical feedback on the specific proposals: See Here
UC SLLI’s economic analysis finding that student debt causes widespread financial hardship: https://www.slli.org/databrief3
UC SLLI’s legal analysis demonstrating that the Secretary of Education has the authority under the Higher Education Act to deliver relief for borrowers experiencing hardship: http://www.slli.org/hardship-waiver-memo
SBPC’s blog underscoring the need for President Biden’s new debt relief effort to include a plan to support borrowers experiencing hardship: https://protectborrowers.org/bidens-student-debt-relief-plan-b-must-not-leave-millions-in-hardship-behind/
SBPC press release on the 2023 SCOTUS ruling: Supreme Court Sides with Right-Wing Special Interests, Blocking President Biden’s Student Debt Relief Plan
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About Student Borrower Protection Center
Student Borrower Protection Center (SBPC) is a nonprofit organization focused on eliminating the burden of student debt for millions of Americans. We engage in advocacy, policymaking, and litigation strategy to rein in industry abuses, protect borrowers’ rights, and advance racial and economic justice.
Learn more at protectborrowers.org or follow SBPC on Twitter @theSBPC.