Borrowing money to go to college has closed the door on many major life milestones, including completing a degree program, for most student loan borrowers, a recent Gallup survey said. Overall, 71% of student loan borrowers who are currently enrolled college students or previously enrolled students who dropped out of their program have had to put off a major life event. Roughly 29% of student borrowers have delayed buying a home, and 28% have put off purchasing a car as a result of student debt.
President Biden's Saving on a Valuable Education Plan could lower borrowers' monthly payments to zero dollars, reduce monthly costs in half and save those who make payments at least $1,000 yearly. Since the launch of SAVE, nearly 8 million borrowers have received relief, including 4.5 million with a $0 monthly payment. The latest round of cancellations targets $7.4 billion in student loans for 277,000 borrowers, the Department of Education said in a statement.
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