Biden has proposed a more modest plan to forgive $10,000 of outstanding student loan debt for all borrowers. Even this more limited approach would erase about one-third of student loan debt.
Forty-five million Americans now owe roughly $1.7 trillion in student loan debt. Total outstanding student loan balances have surged by $54 billion year-on-year, even while college enrollment has dropped 10.8% since 2011. More than 1 in 4 student loan borrowers are either in delinquency or default.