The United States Education Department launched a website on Friday, October 14, which will allow federal student loan borrowers to submit applications for relief from debt. As per the guidance on the beta website by the Department of Education, it is accepting applications to help refine its processes before the official launch of the form.
US President Joe Biden announced the student debt relief initiative earlier this year in August. As per the initiative, it will be providing up to $10,000 in debt relief for borrowers who are earning less than $125,000 per year. It will also apply to couples who file taxes together and make less than $250,000 every year.
The majority of the student loan borrowers are made of Pell Grant recipients and they are qualified for a further $10,000 relief in debt. According to the Biden administration, the initiative is supposed to help more than 40 million borrowers in the United States.
The launch of the beta website comes right before the beginning of sending formal applications for debt relief, which will be starting later in October and will be continuing till December 31, 2023, the website revealed. As per the Department of Education, the applications for debt relief will be made available in the initial parts of October.
“Tonight, the Department of Education will begin beta testing the student debt relief website. During the beta testing period, borrowers will be able to submit applications for the Biden-Harris Administration’s student debt relief program,” CNN quoted an Education Department official.
People who will be applying for relief in debt using the beta website, which was launched on Friday by the Education Department, will be receiving a confirmation letter in their email. However, their application will only be processed when the website is launched formally, the date of which is yet to be announced but is expected to be later in October.
When processing of the application starts, borrowers who are eligible for the initiative are expected to be receiving relief from their respective education loans in the next couple of weeks.