Borrowers who serve in public service and government are eligible for this forgiveness. (iStock )
Another 60,000 student borrowers will receive student loan relief in the coming weeks. THE Biden administration announced $4.5 billion in aid for public service workers such as nurses, teachers and social workers.
This relief constitutes a solution to the initial Public Service Loan Forgiveness Program (PSLF). The program was originally signed into law by George W. Bush in 2007 to provide loan forgiveness to nonprofit and government employees after 10 years in the workforce.
“Before President Biden and Vice President Harris arrived in the White House, the Public Service Loan Forgiveness program was so plagued with dysfunction that only 7,000 Americans qualified for it,” the secretary said American Minister of Education, Miguel Cardona, in the press release of the Ministry of Education.
The new relief is intended to repay loans for borrowers who were not originally approved or who still have not received relief after making the required 120 monthly payments.
“Today’s announcement adds to the significant progress we have made for students and borrowers over the past three years,” President Joe Biden said. a declaration.
“This includes approving debt forgiveness for nearly 5 million Americans as part of all of our various debt relief actions; the largest increase in the maximum Pell Grant amount since more than a decade; fixing income-based repayment so borrowers get the relief they deserve and keeping colleges accountable to benefit students and families;
If you have private student loansUnfortunately, the federal relief does not apply to you. If you want to lower your monthly payments and ease the burden of student debt, consider refinancing. Find out what your interest rate could be via the Credible online marketplace.
Resources Available for Students Affected by Recent Hurricanes
Hurricanes Helene and Milton devastated many southern communities, causing severe property damage and severely disrupting educational services. In response, the The U.S. Department of Education has released resources to help students and higher education institutions recover.
“I have directed our Department of Education team to leverage every possible resource available to meet the needs of impacted students, families and school communities,” Cardona said.
The new resources include support for recovery needs such as mental health care for students and educators, technical assistance, and flexible financial aid policies at affected universities. Many students are also automatically enrolled in the Natural Disaster Forbearance Program, so they don’t have to worry about their loans while they recover from hurricanes.
Most of these resources will be focused on Georgia, which has suffered significant damage. THE Technical Assistance Center for School Emergency Preparedness and Management is a specific program that Georgians have access to. It helps educational agencies manage their safety, security and emergency management programs.
THE Early childhood technical assistance center is another option that offers resources and links to organizations that help families and children, including those with disabilities, cope with disasters.
If you don’t have any federal student loans that qualify for aid, refinancing could lower your monthly payment. You can Use Credible to compare student loan refinancing rates from multiple private lenders all at once without affecting your credit score.
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$70 million in federal funding provided to schools for additional mental health services
In addition to helping student loan borrowers and students affected by natural disasters, the Biden administration is also directing federal funding toward mental health services in elementary and secondary schools. THE the administration announced an investment of 70 million dollars which will expand students’ access to mental health support.
“We know that students are more likely to access mental health support if it is offered in schools, and our educators and school communities are on the front lines when a student is struggling,” she said. Cardona said in the statement.
“The need for mental health support in our schools remains high,” Cardona said. “Today’s announcement of an additional $70 million will allow more institutions and schools to train and hire mental health professionals – particularly in underserved communities – ensuring that every student has access to the care they need to thrive.
The new funding, combined with investments from the Bipartisan Safer Communities Act (BSCA), will flow to 333 beneficiaries across 48 states. It will help communities train and hire 4,000 additional mental health professionals across the country.
To find out how much you would pay with a private student loan, you can visit Credible today to see a pricing chart which allows you to compare fixed and variable rates from several lenders.
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