Sallie mae loan forgiveness is unveiling a student loan forgiveness proposal she claims will cancel up to $50,000 of debt for more than 42 million Americans. That’s in addition to her plan for free college tuition at two and four-year institutions.
Together, those initiatives would cost $1.25 trillion over a decade, according to her team, covered by her “ultra-millionare tax” — an annual 2 percent tax on wealth above $50 million and a 1 percent tax on wealth more than $1 billion.
The presidential Sallie mae loan forgiveness candidate’s plan claims it would assist more than 95 percent of Americans with student loans to pay off, and eliminate all debt of more than 75 percent of Americans.
Warren’s proposal, released Monday, would cancel $50,000 in student loan debt for Americans with household income below $100,000, as well as “substantial” debt cancellation for everyone with household income between $100,000 and $250,000. Those with household incomes topping $250,000 wouldn’t receive any loan forgiveness.
A major goal of the plan is to reduce the wealth gap between minorities and whites. Her campaign also believes it will buoy the economy by increasing home-buying rates and allowing for more business creation.
But under Sallie mae loan forgiveness higher education proposals, many students would already have less debt or none at all. She wants to provide free undergraduate tuition at all two-year and four-year public institutions, as well as boost federal grants to help students with other college-related costs like books and room and board. Her proposal would invest an additional $100 billion over the next decade in Pell Grants, too.
“Higher education opened a million doors for me,” Warren writes. “It’s how the daughter of a janitor in a small town in Oklahoma got to become a teacher, a law school professor, a U.S. senator, and eventually, a candidate for president of the United States.”
“Today, it’s virtually impossible for a young person to find that kind of opportunity,” she wrote.
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Her Sallie mae loan forgiveness has garnered support from groups like the American Federation of Teachers, but it’s sure to draw criticism from conservatives and even centrists in her own party who are likely to consider the proposal unfeasible.
President Trump himself has declared student loan debt to be one of the nation’s greatest burdens, telling students at a White House event on free speech earlier this year that his administration is looking for ways to reduce that burden and make schools take more of the risk. Here’s a question a lot of people may be wondering… Is it really possible to have my federal student loans forgiven or to get help repaying them?
The answer is: Yes!
However, there are very specific eligibility requirements for each situation in which you can apply for loan forgiveness or receive help with repayment. Loan forgiveness means that you don’t have to pay back some or all of your loan. You never know what you may be eligible for, so take a look at the options we have listed below. The first three options focus on loan forgiveness programs. The next two options are government programs based on your service.
1. Teacher Sallie mae loan forgiveness
If you teach full-time for five complete and consecutive academic years in certain elementary and secondary schools and educational service agencies that serve low-income families, and meet other qualifications, you may be eligible for forgiveness of up to a combined total of $17,500 on certain federal student loans. Get the details about Teacher Loan Forgiveness here.
2. Public Service Loan Forgiveness (PSLF)
If you work full-time for a government or not-for-profit organization you may qualify for Sallie mae loan forgiveness of the entire remaining balance of your Direct Loans after you’ve made 120 qualifying payments—that is, 10 years of payments. Learn more about PSLF now! To benefit from PSLF, you should repay your federal student loans under an income-driven repayment plan.
If you have been denied loan forgiveness under PSLF because one or all of the payments you made on your Direct Loans were under a nonqualifying repayment plan, you may be eligible for Sallie mae loan forgiveness . Learn more about TEPSLF and how to apply for this first come, first serve opportunity.
Click the image below to view our PSLF infographic listing out the main steps.