Message for students regarding the Biden Administration's student loan debt announcement

Thursday, August 25, 2022

Dear Carroll Students,

President Biden announced a plan to cancel up to $20,000 in debt for Pell Grant recipients with loans held by the Department of Education and up to $10,000 in debt for non-Pell Grant recipients. Borrowers are eligible if their individual income is less than $125,000 (or $250,000 for households).    

In addition, the president's plan extends the pause on repayments of federal student loans through Dec. 31, 2022. More information about the plan can be viewed on the White House website.

To qualify for debt cancellation, borrowers may have to submit an application to verify their income (if their income data is not already on file with the Department of Education). The Education Department will establish that application process before the end of the year.   

Borrowers can view their loan balances and check their Pell status by logging into the Federal Student Aid account at studentaid.gov. You can also determine who services your federal student loans by visiting studentaid.gov/manage-loans/repayment/servicers. Please be aware that these websites are receiving a lot of traffic right now and may be slow to respond. 

More information on the student debt relief plan will be available in the coming weeks. In the meantime, borrowers can read more at StudentAid.gov/debtrelief and sign up to be notified when the application becomes available.

We understand that you may have many questions about the announcement. Please check the federal websites linked above for the most up-to-date information.

Thank you.