Thousands of Texans could benefit from student loan forgiveness

Thousands of Texans could benefit from student loan forgiveness

Published August 25, 2022
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People earning $125,000 or less will see $10,000 eliminated from their student loan debt. People in that group who received federal Pell Grants will see $20,000 in debt eliminated, a move intended to help low-income borrowers.

A’Naiya Vavis graduated from Texas State University four years ago with $14,000 in student loan debt, and her $180 monthly payment to the federal government meant living paycheck to paycheck on a $38,000-a-year public relations salary in Austin.

But on Wednesday, she found out her education bill is no more after President Joe Biden announced that the federal government will forgive $20,000 in student loan debt for borrowers who also received federal Pell Grants.

“I’m very stunned and shocked,” Vavis said Wednesday. “I didn’t expect to not have any student debt until at least my 30s just because of where I live and the high cost of living. Trying to budget for student loans has always been stressful. And now to have that off my plate is a big relief.”