Recent grad reacts to student loan relief plan
Marlyn Rosario graduated from the University of Albany in 2021. With loans originally scheduled to resume next month, she was preparing to make a payment. “I know how much I owe to the cent, and it has been a little bit nerve wracking,” she said.
She tells us she feels a little more at ease with President Biden’s announcement.
President Biden announced the plan to extend the payment freeze until the end of the year and forgive up to $20,000 of student loan debt for borrowers making less than $125,000 if they received a Pell Grant and $10,000 for those who did not.
“I was so happy, honestly,” she said. “When I heard today that I was eligible for $20,000, that’s most of the loans that are at least in my name.”
UAlbany Economics Professor Dr. Kajal Lahiri says this plan will help nearly 40 million people, but it’s not perfect.
“The issue is where is the money going to come from,” he said. “That’s where this discussion really begins, what are the unintended consequences of this generous policy action?”
In the meantime, borrowers like Rosario feel a little bit of relief.
“It’s just a weight off my shoulders,” she said. “Knowing that I don’t have that much debt on top of me, I have plans now for the future that feel a little more attainable.”