Written by Reananda Hidayat PermonoCompleted Master Degree from Curtin University, Perth, Australia.
The Biden-Harris administration announced the student loan forgiveness plan to forgive student loan borrowers’ debt up to $20,000.
But you must fulfill the income requirements to qualify for the program.
Borrowers with an annual income below $125,000 (individual) or $250,000 (households) can apply for the student loan forgiveness plan.
Here are more updates.
How could I know if my student loans qualify for loan forgiveness? You must own federal student loans and meet the income requirements to receive up to $10,000 in debt cancellation.
A Pell Grant holder can qualify for up to $20,000 in debt cancellation.
What are three options for student loan forgiveness? You can try to apply for Income-Driven Repayment Forgiveness,...
Public Service Loan Forgiveness, and Teacher Loan Forgiveness programs.
Do student loans go away after seven years? There is no program for loan cancellation after seven years. Hence, you default on your student loans if it disappears from your credit report.
Will student loans automatically be forgiven? Generally, all federal student loans are eligible for forgiveness. All you need to do is choose the correct repayment plan that suits your income level.
Does student loan forgiveness go against your credit? Any negative payment history from student loans will remain on your credit report.
Therefore, the student loan forgiveness plan will help you on this matter.