More than 800,000 student loan borrowers are getting billions of dollars in debt forgiveness this week
CBSN
This week, more than 800,000 student loan borrowers with billions of dollars in debt will start to have their loans discharged.
The one-time account adjustment comes after the Biden administration last month announced it would forgive student loans for 804,000 borrowers with a combined $39 billion in federal student loan debt. These borrowers have been in income-driven repayment (IDR) plans for more than 20 years and "never got the credit they earned" under IDR plans, the White House said in a statement Monday.
"Hundreds of thousands of borrowers weren't accurately getting credit for student loan payments that should have delivered them forgiveness under income-driven repayment plans," President Joe Biden said in the statement. They "will start to see their student debt canceled" this week.
