Frequently Asked Questions on student loan debt cancellation
What Is Federal Student Loan Debt Relief?
What you need to know about the Federal Student Loan Debt Relief
- The program was introduced by President Biden as a Federal relief. It is Federal, which means students from any state may apply.
- You can qualify for full or partial discharge of loans up to $20,000 to Federal Pell Grant recipients and up to $10,000 to non-Pell Grant recipients.
Who qualifies for debt cancellation?
- Individuals who made less than $125,000 in 2021 or 2020
- Families that made less than $250,000 in 2021 or 2020
If you filed federal taxes, your income requirements are based on your adjusted gross income (AGI), which tends to be lower than your total income. Your AGI can be found on line 11 of the IRS Form 1040.
How to apply for student loan forgiveness starting in 2022
- Apply anytime today, but no later than Dec. 31, 2023.
- FAFSA will determine eligibility and will contact the applicant for additional information.
- A loan servicer will notify you when your relief has been processed.