Hoosiers expected to benefit from federal student loan relief
INDIANAPOLIS — President Joe Biden has announced a plan to write off student loan debt for millions of Americans. Two Hoosiers we spoke to about it say this pardon will give them more financial freedom.
“There is more than a little relief. It’s definitely not all my debt,” said Caleb Flegel, a student borrower. “I have been repaying my loans for more than 20 years and I have not shaken anything on the capital. »
Flegel went to school in the late 90s to earn a degree in military history. After graduating from high school, he enlisted in the military, but was injured and was unable to continue his intended career. He then went to nursing school for a short time. He still owes about $20,000 on his loans. He failed to pay his federal student loans due to the pause in payments.
“I’ve been a good boy and paid like I’m supposed to all the time and I’m still in debt,” Flegel said. “So, yeah, that helps.”
Hannah Gregory graduated from college in 2019. She did everything she could not to take out student loans. She went to Ivy Tech to increase her GPA, which earned her scholarships. Even with all those extra steps, she still has nearly $20,000 in student debt.
“With just the cost of living as high as it is right now, that’s going to be a lot,” Gregory said. “I can put that somewhere else; I can take those payments that I was going to make to my federal student loans and put those to my private now.
Both know there will be backlash from people who oppose a step like this. However, they hope people will understand that this aid will help millions of Americans and Hoosiers.
“For me it’s about 50% of my debt more or less and for others I know who are in the same boat, but for them it’s a drop in the ocean,” he said. Flegel.
“If we can make things better for people, even if it means we missed a few people along the way, then we’re on the right path to making the world a better place overall,” Gregory said.
The pardon only applies to those earning less than $125,000 per year. For married couples, the income threshold is $250,000 per year to qualify.
AFTER: Who Qualifies for Federal Student Loan Forgiveness? | Economists and organizations react to expected cancellation of student loans