Despite forgiving $188.8 billion in student loan debt for over five million borrowers during his presidency, Biden's efforts did not reduce the total student debt, which reached approximately $1.7 trillion by the end of 2024. Contributing factors included an extended repayment pause during the pandemic, new borrowing during this time, and rising college costs averaging 7% increase annually. Experts noted that the amount forgiven only offset new debt accumulation, emphasizing the complex dynamics influencing overall student debt levels.
In all, the Biden administration forgave around 12% of outstanding student federal loan debt, but the total forgiveness was only $188 billion, amounting to new debt accumulating in just two years.
The net effect of the pause in loan repayments and increased borrowing during the pandemic led to a rise in total student loan debt, despite significant forgiveness efforts.
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