Dear John,

Across the nation, 45 million borrowers owe $1.6 trillion in cumulative federal student loan debt. 16% of borrowers are in default – including nearly a third of senior citizens with student debt. This can result in wage garnishments or a decreased credit score. 

No less concerning, Connecticut residents have an average student loan debt notably higher than the national average, owing a cumulative $17.5 billion. I have heard from many constituents struggling under the devastating weight of these student loan payments. I would love to hear from you.

The Biden-Harris Administration has taken decisive action to address the student loan debt crisis. 

On August 25, 2022, the President announced a three-part plan to cancel up to $20,000 in student loan debt to Pell grant recipients with loans held by the Department of Education and up to $10,000 in debt cancellation to non-Pell grant recipients. Borrowers are eligible for this relief if their individual income is less than $125,000 ($250,000 for married couples). 

The Biden Administration Student Debt Relief Plan also: 

• Cuts monthly payments in half for undergraduate loans, proposing a new income-driven repayment plan that protects more low-income borrowers from making any payments and caps monthly payments for undergraduate loans at 5% of a borrower’s discretionary income
• Reforms the Public Service Loan Forgiveness (PSLF) program by proposing a rule that borrowers who have worked at a nonprofit, in the military, or in federal, state, tribal, or local government, receive appropriate credit toward loan forgiveness
• Protects future students and taxpayers by reducing the cost of college and holding schools accountable when they hike up prices.

The Biden Administration Student Debt Relief plan is poised to provide relief to up to 43 million borrowers, including cancelling the full remaining balance for roughly 20 million borrowers. 

To learn more about the Biden Administration Student Debt Relief plan, please click here.

As your Congresswoman, I have worked to decrease the burden of student loan debt, reform the financial aid system and make higher education more affordable. We must ensure students seeking a brighter  future through higher education are not barred from advancement due to the weight of debt. 

I am the lead sponsor of the Pell Grant Restoration Act, legislation to ensure Pell grant recipients who receive loan forgiveness because they were defrauded by for-profit colleges can have their Pell eligibility restored; and the Teacher Student Debt Relief Act, which incentivizes the recruitment and retention of teachers by streamlining existing student debt relief and loan forgiveness programs. Provisions from this legislation were included in the College Affordability Act in the 116th Congress. 

Thank you for taking the time to read this update. As always, please continue to share your thoughts and priorities with me.  To hear more about my work in Congress, subscribe to my newsletter here.

Jahana Hayes

Member of Congress