The Education Departments is reportedly ready to cancel student debt as soon as President Joe Biden gives the word, according to multiple internal memos detailing the departments plans to enact broad forgiveness.
According to Insider:
On Thursday, Politico released a report detailing internal memos within the Education Department on plans to carry out broad student-loan forgiveness. Biden has considered moving to cancel $10,000 in student debt for borrowers making under $150,000 a year, and the report says the department is prepared to provide that relief within months of any announcement for borrowers whose income information is available.
Borrowers without income information readily available to the department would apply through a form on studentaid.gov to self-certify their income and qualifications for relief, per the report. Borrowers with graduate and parent PLUS loans, along with federal loans privately held, would also qualify.
Politico said that the plans hadn’t yet been approved by the White House but that senior aides briefed Education Secretary Miguel Cardona earlier this week of the ideas to implement broad-based relief.
A White House representative previously told Insider that Biden was still planning to announce any relief before August 31, when student-loan payments are set to resume. According to the report, the department hopes to have the application form ready for borrowers to use within days of Biden’s final announcement.
For now, borrowers continue to await a final announcement of relief — along with an update on whether the pause on student-loan payments will be extended, which the department recently signaled could happen again for the fifth time under Biden.