White House cancels $5 billion in debt for students

(NBC) - In a new wave of student loan forgiveness, the Biden administration is canceling $5 billion in debt for 74,000 borrowers, many of whom worked in public sector jobs for more than a decade.

President Biden said that 44,000 of approved borrowers were having their education debt wiped clean after 10 years of public service and that those borrowers included teachers, nurses, and firefighters.

The president said in a statement that nearly 30,000 borrowers have worked toward repayment for at least 20 years but never got the relief they earned through income-driven repayment plans.

It's the latest round of loan forgiveness efforts after the Supreme Court struck down the White House's student loan debt relief plan last year.

Since the ruling, the White House has launched a series of smaller relief programs.

The White House said that the new cancelations bring the total number of people who have had debt canceled under the Biden Administration to $3.7 million.

The administration announced this month that the White House would eliminate federal student debt for certain borrowers who had taken out less than 1$2,000 in federal loans.

In December, Biden approved about $4.8 billion in student debt cancelation for more than 80,000 borrowers.

The Supreme Court struck down President Biden's student loan relief plan in June, arguing that the program was unlawful because it was not explicitly approved by Congress.

The plan was designed to cancel up to $20,000 in debt for about 43 million eligible borrowers.