GMB Ep #145: Everything You Need to Know About Biden’s Student Debt Forgiveness

Last week, President Joe Biden announced a new student loan relief program that promises to cancel $10,000 of student debt for low- to middle-income borrowers. Since then, this topic has become somewhat controversial and has ignited a fair amount of debate online. This week on the podcast, Grant dives into the provisions of this new student loan relief program, eligibility criteria, and some of the planning opportunities that have emerged from the program.

 

 

Show Notes

[03:31] Background – Grant shares the details of President Biden’s new executive action and why it’s considered controversial.

[06:35] Qualified Loans – Grant explains the types of loans that are qualified under the provisions of the student loan forgiveness program.

[08:42] Income – Income is the most prominent factor that determines eligibility for loan forgiveness. Grant breaks down the numbers of the income levels that qualify for this program.

[14:05] Income-driven Payments – Grant shares his thoughts on the differences between income-driven payment programs that were introduced earlier and President Biden’s new program.

[20:00] Planning Opportunities – Grant discusses some of the tax planning opportunities that may allow you to qualify for the new loan forgiveness program.

[29:58] Earlier Programs – Grant shares some highlights of the provisions that were included in the income-driven payment programs that were introduced earlier.

[35:00] Enrolling in a New Program – Grant shares his take on the pros and cons of enrolling in a new income-driven repayment program.

 

 

Resources

FACT SHEET: President Biden Announces Student Loan Relief for Borrowers Who Need It Most
whitehouse.gov/briefing-room/statements-releases/2022/08/24/fact-sheet-president-biden-announces-student-loan-relief-for-borrowers-who-need-it-most/

Biden-Harris Administration Announces Final Student Loan Pause Extension Through December 31 and Targeted Debt Cancellation to Smooth Transition to Repayment
www.ed.gov/news/press-releases/biden-harris-administration-announces-final-student-loan-pause-extension-through-december-31-and-targeted-debt-cancellation-smooth-transition-repayment

 

 

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