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Trump admin agrees to reinstate student loan forgiveness plans for millions of borrowers
Trump admin agrees to reinstate student loan forgiveness plans for millions of borrowers
Trump admin agrees to reinstate student loan forgiveness plans for millions of borrowers

Published on: 10/21/2025

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by CHARLOTTE HAZARD | The National News Desk

Tue, October 21st 2025 at 10:33 AM

WASHINGTON, DC - OCTOBER 20: U.S. President Donald Trump waits for the arrival of Prime Minister of Australia Anthony Albanese at the White House on October 20, 2025 in Washington, DC. Albanese is visiting the U.S. Capital to meet with President Trump and later visit the Pentagon. (Photo by Kevin Dietsch/Getty Images)

WASHINGTON (TNND) — The Trump administration will cancel student debt for millions of borrowers under programs it blocked at one point.

This result comes from an agreement last week between the administration, the U.S. Department of Education and a union called the American Federation of Teachers.

In the agreement, the Trump administration said it would forgive student loans for borrowers that qualify in two different repayment plans.

The plans are the “Pay as You Earn” plan and the Income Contingent Repayment plan.

Over 2.5 million borrowers will be able to qualify for forgiveness under these plans.

The legal director for Protect Borrowers, a nonprofit that defends individuals who borrow student loans, said the deal was a tremendous win.

“The U.S. Department of Education has agreed to follow the law and deliver Congressionally mandated affordable payments and debt relief to hard-working public service workers across the country,” Winston Berkman-Breen said, according to CNBC News.

Earlier this year, Trump halted student loan forgiveness programs after he was sued by the American Federation of Teachers.

The union accused Trump of blocking federal student loan holders from their programs.

News Source : https://wfxl.com/news/nation-world/student-loan-forgiveness-trump-admin-agrees-to-reinstate-plans-for-millions-of-borrowers-department-of-education-american-federation-teachers

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