Quigley Statement on Biden’s Historic Student Debt Relief Announcement

Today, U.S. Representative Mike Quigley (IL-05) released the following statement after President Joe Biden announced that the federal government will provide historic student debt relief to millions of Americans:

"For too long, student debt has stood between millions of families and the American dream. Higher education should be a ticket to the middle class, instead the increasing cost of college has blocked Americans from buying their first home, owning a new car, and even pursuing further education.

"President Biden's announcement today will put the American dream back within reach for millions.

"Targeted debt relief will help the borrowers who need it most and make a real difference for current and future students. Nearly 90% of relief dollars will be going to borrowers earning less than $75,000 per year and the average current and future student will save over $1,000 per year on loan payments. This historic decision will mean debt relief for nearly 45 million Americans.

"I am dedicated to working with my colleagues in Congress until not only current student debt is lowered for everyone but until higher education is affordable and accessible for everyone who wants to attend college in the future."

Biden's announcement today will:

• • Provide up to $20,000 in debt cancellation to Pell Grant recipients and up to $10,000 in debt cancellation to non-Pell Grant recipients. Borrowers who earn less than $125,000 per year or households earning less than $250,000 are eligible for debt cancellation.
  • Extend the federal student loan pause a final time through December 31, 2022 to provide borrowers a smooth transition back to repayment.
  • Make the student loan system more manageable for current and future borrowers by cutting monthly payments in half for undergraduate loans and holding schools accountable when they hike up prices.

Borrowers can visit studentaid.gov/debtrelief to sign up to be notified automatically when additional information is available and individuals can apply right now – until October 31st – at PSLF.gov to take advantage of temporary changes to the PSLF program.