For individuals struggling with federal student loan debt, the FAFSA loan forgiveness application process has started. This new possibility is a big step towards financial relief for millions of borrowers by allowing qualified individuals to have between $10,000 and $20,000 of their student debt cancelled.
A beta version of the application procedure was launched last Friday with the intention of testing the system and making any required adjustments before its general introduction on Monday. The reaction was tremendous, with an astounding 8 million people requesting pardon over the weekend. A total of 40 million debtors of student loans are qualified to take advantage of this debt reduction programme.
Individuals that took part in the beta testing and submitted their applications are not required to reapply. If it is decided that they are eligible, their debt relief will start immediately away.
How to apply
It is now straightforward to apply for loan forgiveness. It is essential to be on the lookout for fraudsters and submit applications only through this official platform studentaid.gov/debt-relief/application eschewing any third-party companies.
The application process is easy and requires the following information:
- Full Name
- Social Security Number
- Date of Birth
- Phone Number
- Verification
The Department of Education will use the provided information to confirm applicants’ income based on their 2020 or 2021 tax returns in order to determine eligibility for the one-time student loan forgiveness. It’s important to keep in mind that to be eligible, an individual must have an annual income of no more than $125,000, and married couples filing jointly must have a combined annual income of no more $250,000 in order to qualify.
Below is a description of the loan forgiveness process:
To be eligible for forgiveness before student loan installments resume in January 2023, an application must be submitted by November 15, 2022.
December 31, 2023, is the application cutoff date.
