7 People Told Us What Biden’s Student Loan Relief Plan Will Mean For Them.

According to a proposal that would likely affect 43 million borrowers, the Biden administration stated on Wednesday that it will cancel up to $20,000 in qualified Americans' student loan debt.

We spoke with seven people about how receiving this much in financial rewards has impacted their life. Many expressed gratitude and said they would welcome any obstacle they could put in the way of student loan debt. The $10,000 or even $20,000 given to Bill Grant winners may not be enough for some people, especially those whose debts have expanded due to years of interest, to manage a mountain of debt.

One of the women who spoke with us said that Biden's proposal was a "positive move in the right way," but added that the entire system required an overhaul. It's unfair when the standards don't apply to student loans the same way they do to the car, boat, or house loans.

Everyone agreed that having school debt cast a shadow on nearly every area of their life. Major choices like where they would live, whether they would get married, and what jobs they would apply for were all influenced by it. It led to a family rupture for at least one person.

Blanca M., 30

With the aim of one day providing her children with a better life, Blanca M.'s mother moved to Texas from Mexico when she was just 17 years old. Blanca feels like she is still falling short of the life her mother envisioned, despite having graduated in the top 10 of her high school class, obtained a bachelor's degree from the University of Texas at Austin, and landed a fulfilling work promoting reproductive rights.

The 30-year-old Austin resident stated, "I did everything that everyone told me to do, and I'm still in this predicament where student debts are ruining my life and my future.

Blanca has been with her partner for 12 years, and they want to be married. Blanca wants to only be identified by her first name and last initial to preserve her privacy. They may wind up paying more in taxes if they filed separately as a married couple since they both had school debts to repay, so filing jointly would increase their payments.

Janet Marie, 36

Janet Marie decided to return to school for her master's because she had trouble finding a job that paid well after graduating from college and believed that completing another degree would boost her earning potential. She was aware it would entail adding tens of thousands of dollars to her existing student loan debt from her undergraduate studies, but she believed it would be worthwhile.

A well-paying full-time position never materialized. She now worries that she won't ever be debt-free because she still has roughly $132,000 in federal debts and another $34,000 in private loans to pay back.

In order to preserve the privacy of her family, Janet wanted to use just her first and middle names. She described her debt as "basically a house that I can never live in."

Clare C., 34

Clare C.'s student loan debt, like that of many others, has affected her life. She requested that her last name not be included in the narrative since she is suing the provider of her private loan. During her time in college, Clare borrowed $80,000 in federal loans and $30,000 in private loans; after more than ten years of repayment, she now owes $70,000 in federal loans and an additional $70,000 in private loans.

Clare, 34, felt like she was finally free to catch her breath for the first time in her adult life when loan repayments were suspended in March 2020.

Clare dropped out of college one semester away from earning her bachelor's degree because she realized she couldn't afford to take out any more debts.

Alice P., 31

Alice P., who requested that her full name not be used so that she could talk freely and was raised by Korean immigrants in Central California, knew from an early age that she would attend college. She said that when her parents immigrated to the US in the 1970s and 1980s, they emphasized the importance of higher education in their plans for their children's pursuit of the American dream.

Without a doubt, Alice would need to take out loans in order to pay for college. However, she was just 18 years old and had no idea how these debts would affect her as an adult.

Over the years, Alice has been frugal and thrifty, taking care to make her payments on time and maintain a good credit rating. She still owes roughly $11,000, which includes interest that has accumulated over the years.

Her financial condition has improved over the last two years as a result of not having to pay monthly payments; as a result, she has been able to accumulate money in order to move away from her hometown. Her mental health has also improved greatly as a result. But she still feels the weight of her debt, as though "this dark cloud has kind of been hovering over me," as she put it.

Morgan J., 35

Ten years ago, Morgan J. returned to school because she believed she would need a college degree to find a job that would pay her enough to support her family. Then, in 2014, after the second of his two strokes rendered him unable to work, she made the decision to enroll in graduate school in order to become a certified therapist order to increase her income.

The 35-year-old mother of two is stuck with $130,000 in student loan debt, which is more than double her current salary, after earning a bachelor's and a master's degree.

Feeding their two teenagers "more than ramen and peanut butter and jelly" while not having to pay off her loans during the moratorium, she claimed. Her family has been able to purchase what they require and go on a couple of brief excursions that they would not otherwise be able to take. Her children have also been able to participate in sports, but over the summer they had to give up some of those activities because of rising petrol expenses and other inflation-related charges.

The 13-year-old is now "constantly worrying about how much things cost," according to Morgan. Even though he is outgrowing his shirts, he claims he doesn't need new clothing.

Taylor Scrivner, 31

Feeding their two teenagers "more than ramen and peanut butter and jelly" while not having to pay off her loans during the moratorium, she claimed. Her family has been able to purchase what they require and go on a couple of brief excursions that they would not otherwise be able to take. Her children have also been able to participate in sports, but over the summer they had to give up some of those activities because of rising petrol expenses and other inflation-related charges.

The 13-year-old is now "constantly worrying about how much things cost," according to Morgan. Even though he is outgrowing his shirts, he claims he doesn't need new clothing.