student loans
New federal student loan repayment plan aimed at low-income borrowers
WASHINGTON — The U.S. Department of Education unveiled a proposal Tuesday that would overhaul a federal student loan income-driven repayment plan, and, if implemented, could help millions of low-income borrowers. However, it’s unclear how the agency would be able to finance the program. Many student debt relief advocates also criticized the proposal for leaving out […]
Biden student debt relief plan thrown out by Texas judge; new applications halted
WASHINGTON — Late Thursday a federal judge in Texas struck down the Biden administration’s student debt relief plan, ruling that the program is unlawful, in a blow to 16 million student debt borrowers already approved for relief. The U.S. Department of Education now is no longer accepting applications for the program, according to the student […]
Biden student debt forgiveness plan on temporary hold after appeals court ruling
WASHINGTON — A federal appeals court on Friday temporarily blocked the Biden administration from carrying out its student loan forgiveness plan, until the court makes a determination on a request for an injunction brought by six Republican-led states, according to multiple media reports. The 8th U.S. Circuit Court of Appeals is giving the Biden administration […]
Arkansas officials: No determination yet on tax liability for student loan forgiveness
Arkansas tax authorities haven’t yet decided whether borrowers must pay state income tax on canceled debt under President Joe Biden’s student loan forgiveness plan. Discharged debt is typically taxable as income. However, under the American Rescue Plan Act, student loan forgiveness between 2021 and 2025 is not subject to federal taxes. Arkansas is one of […]
Biden to wipe out $10,000 in student loan debt for many borrowers
WASHINGTON — President Joe Biden announced Wednesday that he will cancel up to $20,000 in federal student loan debt for Pell Grant borrowers and up to $10,000 for all other borrowers with an income of less than $125,000 for an individual and $250,000 for a household. Biden also announced his administration is extending a pause […]