The Biden administration announced it would automatically cancel the education debt for 804,000 borrowers, for a total of $39 billion in relief.
In the past, payments that should have moved a borrower closer to being debt-free were not accounted for, according to the Biden administration.
"For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness," U.S. Secretary of Education Miguel Cardona said in a statement. To bring people over the line for forgiveness, the Biden administration counted payments for borrowers who'd paused their payments in certain
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