President Biden has announced a plan to cancel up to $10,000 in federal student loan debt for millions of Americans.
Borrowers who earn less than $125,000 per year will be eligible for up to $10,000 in loan forgiveness, while Pell Grant recipients will be eligible for an addition $10,000.
Current students will also be eligible for debt relief, but not future students, the White House says.
Biden will also defer student loan repayments until the end of the year.
Most people will have their debt cancelled automatically, but some will have to apply for debt relief, according to the Education Department.
“Today’s action of getting student loan debt relief to borrowers is about opportunity. It’s about giving people a fair shot.” Biden tweeted, “It’s about making sure folks have the breathing room they need to buy a house, open a business, start a family, and save for their future.”