Tristen Sanders
The SAVE program can help thousands of people recover from their student loan debt!
According to the Department of Education, approximately 43 million people in the United States owe a collective amount of $1.6 trillion in student loan debt. Many people haven’t made a payment towards their student debt since March of 2020 when former president Trump paused monthly payments. However, the interest on federal student loads resumed September 1st but the payments will not resume until October 1st.
As Juniors and Seniors are thinking about which college they may want to go to as well as submitting college applications, I think it would be beneficial to be on top of all the resources you may have regarding student loans. With the newest resource being the SAVE plan.
On August 22nd, the Biden administration released the SAVE plan, a new income-driven payment plan to help people with student loan debt with upcoming payments. Many have even reduced their monthly payment to zero!
The Biden administration stated that 804,000 borrowers on income-driven repayment plans had been making payments for the last 20 years, however, none were actually promised relief from their debt. An approximate 662,000 public service workers, including teachers, will finally see debt relief under this new plan.
Scripps News spoke with many educators who shared the same experience about their loans not being forgiven under public service arrangements.
But with this new SAVE plan, more Americans suffering from federal student loan debt should be forgiven or relieved.