The new student loan forgiveness plan by Biden applies to these 5 groups of borrowers.

• On Monday, President Biden unveiled a new student loan forgiveness plan that could potentially aid around 30 million individuals, estimates suggest.
• Biden's Plan B targets five specific groups of borrowers.
• Here's who could qualify for the new relief effort.

On Monday, President Biden unveiled a new student loan forgiveness plan that, when combined with his administration's existing relief initiatives, could aid millions of borrowers.

Biden's "Plan B" focuses on five particular borrower groups for education debt relief.

Here's the breakdown of who stands to benefit.

1. Borrowers with 'runaway interest'

According to the Biden administration, over 25 million borrowers owe more than they originally borrowed in federal student loans due to accrued interest charges.

Borrowers who enroll in an income-driven repayment plan could have their entire interest balance on federal loan debt since they entered repayment canceled, up to $20,000.

Eligibility for the Saving on a Valuable Education (SAVE) plan or any other income-driven repayment plan is automatic for anyone enrolled in these plans without the need to apply.

2. Borrowers eligible for forgiveness programs, who haven't applied

Government debt forgiveness programs are not well-known and difficult to access for borrowers and consumer advocates.

Biden's new plan is expected to cancel debt for borrowers who have not successfully applied for relief through Public Service Loan Forgiveness or the SAVE plan or other income-driven repayment plans, in addition to the cancellation of interest.

The administration announced that the Education Department will automatically grant relief to eligible borrowers, as identified through a review of their accounts.

3. Borrowers who entered repayment over 20 years ago

Over 2.5 million borrowers could benefit from the cancellation of student loans that have been outstanding for at least two decades.

Eligible borrowers with undergraduate debt must have begun repayment before July 1, 2005, while eligible borrowers with graduate school debt must have started repayment before July 1, 2000. Both direct loans and consolidated loans are eligible for relief.

4. Borrowers who enrolled in 'low-value' colleges

Graduates from "low-value" institutions or programs would also be eligible for loan forgiveness.

Borrowers who attended institutions or programs that closed or failed to provide sufficient value could apply for relief under this part of the plan.

According to the Biden administration, colleges that lost their eligibility to participate in the Federal student aid program or were denied recertification due to cheating or taking advantage of students are generally considered "low-value" institutions.

Over 1 million students who attended certain for-profit schools, including Corinthian Colleges and ITT Technical Institute, have had their student loans cancelled by the Department of Education.

5.  Borrowers experiencing 'hardship'

The administration stated that "millions of borrowers could be eligible for relief if they are facing difficulties in repaying their loans due to hardships in their daily lives." The plan includes canceling student debt for borrowers who are at risk of defaulting or have other financial burdens such as medical debt or child care.

The White House stated that borrowers from Black and Latino communities will receive more relief from higher debt burdens.