No more forgiveness for student loans requested when repayments should resume / Public Information Service

0


TALLAHASSEE, Fla .– As more than 200 organizations call on the Biden administration to extend the hiatus on student loan repayments, some borrowers are succeeding thanks to the civil service loan forgiveness program.

So far, the Biden administration’s approach to student loan relief has been to improve or expand a handful of programs that were already on the books, even as advocates push for the pledge to campaign to write off $ 10,000 in student debt per person.

Susan Garcia is a professor at the New World School of the Arts at Miami Dade College, who said she was able to have her loans canceled in the modified program for educators, nurses and public employees who give 10 years of service.

“It’s $ 92,000 in payments that’s being canceled, that’s been canceled,” Garcia said. “And for me it’s amazing because I’m 58, I’m heading into retirement, I have a 17 year old son who’s looking to go to college and trying to figure out how he’s going to do it. “

Garcia encourages others to take advantage of the now streamlined program that the Education Department says has already written off $ 2 billion in debt. The pandemic moratorium on federal student loans is expected to expire after January 31.

Garcia said the student debt crisis is real. She thanked organizations like the American Federation of Teachers for pushing for reforms that allowed her loans to be canceled, which started at around $ 120,000.

“Don’t get me wrong, it wasn’t like I didn’t make any payments,” Garcia said. “I have paid over $ 148,000, mostly interest only since I left school.”

One of the main changes to the public service loan forgiveness program allows all payments made by student borrowers to count, regardless of the loan program or payment plan. This waiver runs until next October.

However, a survey conducted by the Student Debt Crisis Center found that 89% of fully employed student loan borrowers said they were not financially secure enough to resume loan repayments on February 1.

receive more stories like this by email


Share.

About Author

Comments are closed.