About 454,200 Connecticut borrowers are eligible for at least $10,000 in federal student loan relief implemented under President Joe Biden’s loan forgiveness plan, according to state-by-state data released in September by the White House. Some 52% (238,200) of those borrowers received Pell Grants.
In August, Biden announced his administration would forgive $10,000 in federal student loan debt for qualified borrowers, and $20,000 for Pell Grant recipients, depending on income. Most Pell Grant recipients’ families earn less than $60,000 a year.
Nationwide, more than 38 million people qualify for loan forgiveness, according to the U.S. Department of Education. Nearly 90% of relief will go to borrowers earning less than $75,000 a year, according to the White House statement. Nearly 71% of Black and 65% of Latinx undergraduate borrowers are Pell Grant recipients.
With the state’s PACT program, community college tuition for eligible first-time college students has been free since 2020. Students must be graduates of Connecticut schools and meet enrollment standards to qualify.
Nonetheless, nearly 13% of Connecticut’s residents qualify for debt relief under the student loan forgiveness plan. The state’s borrowers carry a collective $17.5 billion in student debt, according to the Education Data Initiative. The average student loan debt in the state is $35,162, and 57% of those with student loan debt are under 35 years old.