(Photo Credit: USA Today)
Applications for student debt relief are now open on the Federal Student Aid website. However, debt discharge is currently on hold as a result of a court order.
“We encourage you to apply if you are eligible and we will continue to review applications,” stated the Studentaid.gov website. “We will quickly process discharges when we are able to do so and you will not need to reapply.”
President Biden started a Federal Student Loan Debt Relief which is a program that provides people up to $20,000 of debt relief if they have a Federal Pell Grant and $10,000 if they do not have a Pell grant.
The biggest question with the Debt relief plan is who qualifies. According to Studentaid.gov, you qualify if, as an individual, you made less than $125,000 in 2021 or 2020. You also qualify if as a family you made less than $250,000 in 2021 or 2020.
If you are a recently enrolled undergraduate student you also could apply to get the loan if You were enrolled as an undergraduate student between July 1, 2021, and June 30, 2022, were born after January 1, 1998 and you aren’t married.
If you are eligible for the relief plan you must apply by no later than December 31, 2023. After you apply your eligibility will be processed and if you do apply for the plan you will be contacted.
You can apply by going to https://studentaid.gov/debt-relief/application and filling out the application given. It is completely free to apply and it takes just minutes to do so.