maximum debt forgiveness of $10,000 per borrower will cost the U.S. government around $300 billion for borrowers
Who will benefits most from the student debt forgiveness plan?
Most of higher income households that are Between 69% and 73% of the debt forgiven
lets see with example,
an income cap of $75,000 for a $10,000 cancellation raises the share of forgiven loan dollars
Around 45 million Americans hold federal student loan debt, according to federal data
The debt relief isn’t counted as taxable income for federal income tax purposes, White House says.
Student loan forgiveness will likely decrease your monthly payment or get rid of it entirely,” said Dan Casey
The white house says that they allows borrowers to suspend their loan payments with a 0% interest rate