US government cancels $42B in public service workers' student loans under revamped program

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US government cancels $42B in public service workers' student loans under revamped program
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The Education Department has approved $42 billion in student loan forgiveness for more than 615,000 public service workers since October 2021, the agency says.

The PSLF program was first congressionally authorized in 2007 to cancel student debt for government employees as well as not-for-profit employees and others providing public services who make at least 10 years of payments on their loans.

"When Secretary [Miguel] Cardona got here, he found that only 7,000 people had ever gotten forgiveness in the history of the program. And in many cases, that's because of the fine print in the program," Kvaal said. Biden's plan would have forgiven up to $10,000 of federal student loan debt per borrower, so long as they annually made under $125,000 or $250,000 as a married couple, with an additional $10,000 canceled for people who received Pell grants, which are given to low-income families.

Secretary of Education Miguel Cardona speaks during the 2023 International Summit on the Teaching Profession in Washington, Apr. 26, 2023."Joe Biden had no legal authority whatsoever. I think the larger issue is it's unfair to people who paid off their loans. It's unfair to people who didn't take out loans," Sen. Eric Schmitt, Missouri's Republican former attorney general who first brought the caseRep. Virginia Foxx, R-N.C.

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