Despite the withdrawal of student loan forgiveness plans by the Biden administration, debt relief options remain available.

• Although the Biden administration abandoned its comprehensive student loan forgiveness proposals, borrowers should still explore the existing debt cancellation options.
• The U.S. Department of Education offers income-driven repayment plans, along with numerous federal and state-level opportunities.

Experts advise borrowers to explore other debt cancellation options after the Biden administration abandoned its plan to forgive student loan debt for millions.

The US Department of Education announced in December that it was abandoning its broad loan forgiveness plans due to operational challenges and political difficulties, according to experts.

Nearly all of President Joe Biden's attempts to eliminate education debt have been stopped by lawsuits filed by Republican-led states. Meanwhile, President-elect Donald Trump has criticized student loan forgiveness and called Biden's efforts "vile" and "not even legal."

Federal student loan holders should not anticipate a comprehensive debt forgiveness policy in the near future, according to experts.

Those with cash accounts benefit from 'higher for longer' interest rates. Credit card debt is set to hit a record level. Only 21% of workers take advantage of Roth 401(k) savings.

Despite the news, there are still targeted student loan forgiveness programs available to individual borrowers.

Affordable repayment options with forgiveness

Experts suggest that the income-driven repayment plans offered by the U.S. Department of Education can be a beneficial option for borrowers who are concerned about paying their bills and achieving debt forgiveness.

IDR plans set your monthly bill based on your income and family size and lead to loan forgiveness after a certain period, typically 20 or 25 years.

The Biden administration attempted to introduce a new IDR plan that would have reduced borrowers' payments even more than the current plans and forgiven debt quicker.

The Saving on a Valuable Education plan, which was tied up in GOP-led legal challenges, now faces an uncertain fate in the upcoming administration.

A variety of IDR plans are still available for borrowers to utilize.

Higher education expert Mark Kantrowitz advised borrowers to first check if they qualify for the Pay as You Earn Plan, or PAYE, before taking out a loan.

That's because it tends to be the most affordable option.

The plan allows borrowers to limit their monthly bills to 10% of their discretionary income and have their debt wiped out after 20 years. Additionally, borrowers do not have to make any payments on the first $22,590 of their income as an individual or $46,800 for a family of four, according to a Dec. 18 press release by the Education Department.

Several online tools can assist you in calculating your monthly student loan bill under various plans.

Federal and state student loan forgiveness

Experts stated that the Education Department still provides a variety of student loan forgiveness programs, including Public Service Loan Forgiveness and Teacher Loan Forgiveness.

Those who teach full-time for five consecutive academic years in a low-income school or educational service agency can be eligible for loan forgiveness of up to $17,500 under the Teacher Loan Forgiveness (TLF) program.

Federal relief options are still available for borrowers to search for on Studentaid.gov.

By state, the Institute of Student Loan Advisors maintains a database of student loan forgiveness programs.

In California, mental health professionals who work at certain facilities for a set period may be eligible for up to $15,000 in loan assistance.

Dentists in underserved areas of Maine can receive up to $100,000 in loan repayment assistance through the state's Dental Education Loan Repayment Program.

Some state programs grant forgiveness based on financial circumstances instead of profession.

The Get On Your Feet Loan Forgiveness Program in New York offers borrowers with an adjusted gross income of less than $50,000 a year up to 24 months of their income-driven repayment plan payments forgiven.