Student loan balances wiped for the first batch of borrowers in Biden's SAVE plan
"It's moral hazard if you're only doing debt relief, but I believe we're balancing it out with accountability on colleges," says Education Secretary Miguel Cardona.
by Ana Perez
Feb 21, 2024
3 minutes
An email went out this morning to some student loan borrowers basically saying, you're debt free.
On Wednesday, the federal Education Department zeroed out loan balances for nearly 153,000 borrowers. They are people who borrowed $12,000 or less, have been paying their student loans for at least 10 years, and enrolled in the Biden administration's new repayment plan called SAVE launched last summer.
"We're providing debt relief to people who need it the most," said Education Secretary Miguel Cardona on Wednesday in an interview on NPR's "We're also addressing
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