President Joe Biden and I are committed to delivering relief to student loan debt borrowers to help them move forward with their lives – whether they want to start a family, buy a home, or become an entrepreneur. Today, we are taking another historic step by forgiving $39 billion in student loan debt for 804,000 borrowers who have been paying down their debts for 20 years or more and should qualify for relief. Instead, many were placed into forbearance by loan servicers in violation of the rules, and others did not get appropriate credit for their monthly payments. Addressing these harmful practices and reducing student loan debt has been a priority throughout my career. As California Attorney General, I won $1 billion for defrauded veterans and students by taking on predatory for-profit colleges.
We will not stop there. Last month, President Biden announced we are pursuing an alternative path to provide relief through the Higher Education Act, and we finalized our new income-driven repayment plan – which will cut monthly payments in half for undergraduate loans. Our Administration will continue to fight to make sure Americans can access high-quality postsecondary education without taking on the burden of unmanageable student loan debt.