Despite the current federal policy on forgiven student debt, it’s possible a borrower could still face state taxes. Currently, a handful of states tax certain kinds of student loan forgiveness
College graduates on average earn more than those without a four-year degree — but where you go to school may influence your earning potential.
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Borrowers enrolled in the Biden administration’s new repayment program, known as SAVE, will be placed “in an interest-free forbearance,” according to a statement from U.S. Secretary of Education Miguel Cardona.
The Public Service Loan Forgiveness program allows certain not-for-profit and government employees to have their federal student loans canceled after a decade in repayment. But the program has been plagued by problems.
Ramon Montiel-García, a newly minted high school graduate from Denver, was accepted to his first-choice school, Wheaton College in Massachusetts. However, with a sticker price of nearly $80,000 per year, he needed financial aid to bring the cost down.
A recent study found that 76% of students said the financial aid amount awarded to them, and the overall financial aid process, was the top driver in their choice about where to go to college.