What Was Biden’s Student Loan Forgiveness Program?
UpdatedJul 2, 2025
- The Biden student loan forgiveness program cleared about $188 billion in student debt.
- There are still many other options for student loan forgiveness or assistance.
- Other ways to get rid of debt include income-driven repayment plans and refinancing.
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Student loan forgiveness programs are all about helping you deal with your school debt. The Biden administration’s efforts wiped out $188 billion of debt for 5.3 million people.
Though Biden is no longer president, there are still ways to get debt relief. These programs could lighten the burden of student loans:
Public Service Loan Forgiveness (PSLF)
Total and Permanent Disability (TPD) Discharge
Borrower Defense to Repayment (BDR)
Closed School Discharge
Want to know if you can get in on one of these student loan forgiveness deals? We’ll walk you through the details and give you some tips for getting rid of your student debt.
Understanding Student Loan Forgiveness Programs
Student loan forgiveness programs are meant to cut down or completely erase debt for you based on the kind of loan you have (federal or private), how you’re paying it back, your job, who you work for, or what’s going on in your life.
For example, if you went to a less-than-reputable for-profit school or work in a government job at any level, you might qualify for help. Biden student loan forgiveness cleared a lot of debt for millions of Americans, but many other government programs still exist that could help people with their student loan debt.
Student Debt Relief Programs Available
There are several programs that can help when you qualify, even though Biden student loan relief has ended. Here’s how they work.
Public Service Loan Forgiveness (PSLF)
The PSLF program gives relief if you work for certain employers, like government offices or certain nonprofits, including the military, public schools, colleges, and child or family services. You might also qualify if you work for special governmental districts, like public transportation or housing. After making 120 consecutive payments while working full-time for a qualifying employer, you can get rid of your remaining federal loan debt.
Tip: To see if you’re eligible, check out the PSLF help tool online.
Total and Permanent Disability (TPD) Discharge
This program clears debt when you’re totally and permanently disabled. If you qualify, you don’t have to pay back your federal loans. That includes direct subsidized and unsubsidized loans, and older loans like Perkins or FFEL. To get this debt relief, you need to fill out an application and show proof that you’re fully disabled.
Borrower Defense to Repayment (BDR)
If your college or university tricked you, engaged in some legal misconduct, or violated state law while you were a student, you might get some or all of your debt erased through the BDR program. You’ll need to prove the school fraudulently persuaded you to take out a loan or that the school lied to you about something that was central to your decision to enroll.
Closed School Discharge
If your school shut down while you were going there or soon after you left, you might qualify for federal loan forgiveness. You’ll need to get your financial aid and school records and meet certain rules. In some cases, loan forgiveness is automatic.
One example is the for-profit chain ITT, which closed in 2016. Some 200,000 borrowers who attended the school had their federal student loans canceled in 2022.
Tip: Find out how to apply and more info for all student loan forgiveness programs at the official website studentaid.gov.
Other Student Loan Forgiveness Programs
There are more ways to get rid of student loan debt besides the main ones:
Teacher Loan Forgiveness. If you teach full-time for five years straight in a school or agency that serves low-income families, you might be able to erase some debt on certain federal loans.
Perkins Loan Cancellation and Discharge. You could wipe out all or part of a Perkins Loan based on your job or volunteer work, or get it cleared under specific situations. This includes Perkins Loan Teacher Cancellation.
Discharge in Bankruptcy. In some cases, you can clear federal student loans by declaring bankruptcy, but discharge in bankruptcy isn't automatic or easy. You have to prove that if you’re forced to repay the loan:
You’d be unable to maintain a minimal standard of living
This hardship would continue for a significant portion of the repayment period
You made good faith efforts to repay the loan before filing bankruptcy
Loan proceeds not used for education costs may be dischargeable under a standard bankruptcy filing.
Unpaid Refund Discharge. If you left school and the school didn’t make a required return of loan funds to the loan servicer, you might qualify to erase that part of your federal loans.
Parent PLUS Loan Discharge. Parent PLUS loans can be cleared if the parent passes away, becomes totally disabled, qualifies for bankruptcy discharge, or if the student they borrowed for dies.
For more info on these programs, check out studentaid.gov.
What to Consider Before Applying
Before you try for any student loan forgiveness program, make sure you understand the rules to find out if you qualify. Don’t expect it to work out automatically, since help can be limited. Watch out for scams that ask for money to get rid of your debt—real programs don’t charge you to apply.
Be realistic about your expectations.
Read: What is a government debt relief program?
Alternatives to Student Loan Forgiveness
If you don’t qualify for federal forgiveness programs, here are some other ways to handle your debt:
Income-Driven Repayment plans. Plans like Pay As You Earn (PAYE) adjust your payments based on what you earn, often to about 10% of your income, if you’re struggling financially.
State-specific assistance programs. Lots of states have help for people like teachers, nurses, doctors, or lawyers. Look into what your state offers.
Refinancing. Switching your federal loans to a private loan could lower your interest and monthly payments, depending on your credit and lender. But you’d lose the protections that come with federal loans, like the option to enroll in an income-driven repayment plan. Only refinance federal loans to private loans if you have a clear and realistic path for fully paying off the debts.
By checking out these options, you can find ways to deal with your student debt, even without forgiveness.
A look into the world of debt relief seekers
We looked at a sample of data from Freedom Debt Relief of people seeking the best debt relief company for them during May 2025. This data highlights the wide range of individuals turning to debt relief.
Debt relief seekers: A quick look at credit cards and FICO scores
Credit card usage varies significantly across different age groups, reflecting diverse financial needs and habits.
In May 2025, the average FICO score for people seeking debt relief programs was 593.
Here's a snapshot by age group among debt relief seekers:
| Age group | Average FICO 9 credit score | Average Credit Utilization |
|---|---|---|
| 18-25 | 574 | 81% |
| 26-35 | 580 | 80% |
| 35-50 | 586 | 77% |
| 51-65 | 593 | 74% |
| Over 65 | 611 | 68% |
| All | 593 | 74% |
Use this data to evaluate your own credit habits, set financial goals, and ensure a balanced approach to managing credit throughout your life.
Credit card debt - average debt by selected states.
According to the 2023 Federal Reserve Survey of Consumer Finances (SCF) the average credit card debt for those with a balance was $6,021. The percentage of families with credit card debt was 45%. (Note: It used 2022 data).
Unsurprisingly, the level of credit card debt among those seeking debt relief was much higher. According to May 2025 data, 88% of the debt relief seekers had a credit card balance. The average credit card balance was $16,327.
Here's a quick look at the top five states based on average credit card balance.
| State | Average credit card balance | Average # of open credit card tradelines | Average credit limit | Average Credit Utilization |
|---|---|---|---|---|
| District of Columbia | $15,789 | 7 | $24,102 | 86% |
| Arkansas | $14,216 | 9 | $28,791 | 78% |
| Oklahoma | $14,158 | 9 | $27,261 | 78% |
| Alaska | $19,315 | 8 | $25,731 | 77% |
| Ohio | $15,397 | 8 | $26,156 | 77% |
The statistics are based on all debt relief seekers with a credit card balance over $0.
Are you starting to navigate your finances? Or planning for your retirement? These insights can help you make informed choices. They can help you work toward financial stability and security.
Manage Your Finances Better
Understanding your debt situation is crucial. It could be high credit use, many tradelines, or a low FICO score. The right debt relief can help you manage your money. Begin your journey to financial stability by taking the first step.
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Author Information
Written by
Cole Tretheway
Cole is a freelance writer. He’s written hundreds of useful articles on money for personal finance publications like The Motley Fool Money. He breaks down complicated topics, like how credit cards work and which brokerage apps are the best, so that they’re easy to understand.
Who can get their student loans forgiven through these programs?
You might qualify if you work for a government or nonprofit (like a public school or the military), are totally and permanently disabled, were misled by your college, or if your school closed while you were there. Each program has its own rules, so check studentaid.gov to find out what fits your situation.
Do I have to pay to apply for loan forgiveness?
No. Valid government forgiveness programs, like the former Biden student loan forgiveness program, don’t charge you to apply. If someone asks for money to help you get rid of your debt, it’s probably a scam. Always use official sites like studentaid.gov to apply for free.
What if I don’t qualify for forgiveness?
If you don’t fit the forgiveness programs, you can try other options like payment plans that lower what you owe each month based on your income, state programs for jobs like teaching or nursing, or refinancing your loans to get a better interest rate. Look into what works best for you.
