A majority of student loan borrowers are worried about their ability to repay their loans
As the election draws near, voters want to talk student debt relief
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Personal finance writer
Christopher Murray has over six years in personal finance. His work has been featured by Bankrate, MoneyCrashers, FinanceBuzz, Investor Junkie, and Time.
Updated October 16, 2024, 3:03 AM EDT
Student loan debt has been an ongoing discussion among Americans for years as the debt balance continues to grow. The country's total student loan debt now sits at $1.6 trillion, according to Federal Reserve Bank of New York data.
These debts are overwhelming for many borrowers. Nearly 94% of respondents to a Credit and Debt survey expressed significant worry about their ability to repay their student loans. An additional 65% said their monthly payments are already unaffordable.
It’s not for lack of trying either. Many borrowers want to pay off their debt, the survey found. About 92% of survey respondents said paying off their student loans is a top priority.
Borrowers are seeking more effective solutions to their debt — 67% of respondents want better ways to deal with their debt, such as refinancing or consolidation options.
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President Biden just announced $7.4 billion in student loan debt relief
The Biden Administration announced more student debt relief recently. They approved $7.4 billion in relief for 277,000 borrowers.
The forgiveness was broken down into three different types. $3.6 billion went towards 206,800 borrowers enrolled in the SAVE Plan. Borrowers who have been paying for 10 years and originally borrowed $12,000 or less are likely to receive some relief.
An additional $3.5 billion was set aside for 65,800 borrowers who saw adjustments to their income-driven repayment plans. About 4,600 other borrowers received $300 million due to fixes to Public Service Loan Forgiveness programs.
"Today’s announcement shows — once again — that the Biden-Harris Administration is not letting up its efforts to give hardworking Americans some breathing room," U.S. Secretary of Education Miguel Cardona said.
"As long as there are people with overwhelming student loan debt competing with basic needs such as food and healthcare, we will remain relentless in our pursuit to bring relief to millions across the country."
The Biden Administration’s announcement brings the total loan forgiveness it has provided to $153 billion for about 4.3 million Americans.
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Many voters want to see student debt relief happen
Election season is here, and voters are eager to see student loan forgiveness discussed by the two candidates.
A Protect Borrowers Action poll, conducted by SocialSphere took a look at voters' attitudes toward student loan debt. Nearly half of the respondents said canceling debt is an important issue for them.
Voters of color were even more likely to want debt cancelation discussed in this upcoming election – 66% of respondents of color said this was one of their top issues.
One survey participant explained, "It’s [student debt] like a giant anchor pulling you into the depths of the sea."
Another one explained the burden they face, saying, "I owe more than what I initially borrowed. It feels very overwhelming."
A large majority of survey respondents think something should be done to alleviate student debt — 70% of respondents want the government to act. Borrowers who have already paid off their loans largely agree, with 67% responding that the government should help reduce student debt balances.
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