Student loan forgiveness: the process is unclear
TUCSON, Ariz. (KGUN) — Many students and faculty at Pima Community College have student loans. They could have up to $20,000 in forgiven debt, but they’re waiting for the Biden administration to tell them how.
“Let’s just say I’m over $35,000 in my student loans.”
Amber Arvizu is a graduate of the University of Arizona and Pima Community College. She spent a total of six years in school.
“I studied five or six different degrees at once,” Arvizu said. “So there are a lot of student loans and certainly scholarships that I dug into.”
The Biden administration’s loan forgiveness would reduce Arvizu’s student loan debt by $20,000. Arvizu says she could use the money to pay for her car or move out of her parents’ house.
“I wouldn’t know how to react because it’s a huge weight on my shoulders,” Arvizu said.
Arvizu is one of millions of people trying to figure out when and how their loans will be forgiven. Financial aid administrators at Pima Community College say that’s not clear.
“Students and the general public heard about it at the same time we did,” said Aurie Clifford, financial aid administrator at Pima Community College. “So that creates a bit of confusion because we know as much as everyone else.”
Clifford worked as a financial administrator for 15 years. She says everyone in her department is confused by the president’s announcement.
“Is this real, is this something that will happen to me, am I eligible? Those are some of the hardest questions because I have to say, ‘I think so,'” Clifford said.
Clifford says loan forgiveness will not be automatic and there is still no form for students. She is waiting for the Ministry of Education to answer a few more questions before responding to students’ concerns.
“Are you going to create a web form? If you’re already signed up for a payment plan, will they be able to request anything from your service agent? Is there a paper form? How do I submit it? you? Who has to sign off on this?
Clifford assumes that the application form will be out in a few weeks and that students will have to turn it in before the end of the year. She recommends people subscribe to the Department of Education’s “Federal Student Loan Borrower Updates.” You can do this by clicking here.
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