The Student Loan Forgiveness Application Is Online. How to Apply and Cancel Your Debt.

The Student Loan Forgiveness Application Is Online. How to Apply and Cancel Your Debt.

Americans with student loan debt may begin applying for loan forgiveness after the Department of Education unveiled a beta version of the application site Friday night October 14th.

Millions of American students can now take their first step to cancel between $10,000 and $20,000 in federal student loan debt. The Department of Education says the application is “simple, easy to use,” and can be accessed on its current website, which is currently in beta phase.

College students
Credits – Pexel

President Joe Biden announced in August 2022 a sweeping federal student loan forgiveness plan that applied to the majority of borrowers. Biden’s plan allows borrowers who earn under $125,000 to cancel $10,000 in federal school loan debt, while married couples qualify for $10,000 per person in debt cancellation if their joint income is under $250,000. Borrowers with Pell grants, which primarily target low-income students, qualify for an additional $10,000 in loan cancellation, or a total of $20,000, if they fulfill the income requirements. 

While Biden’s loan forgiveness plan was welcomed by those with student loan debt, it faced immediate challenges from political opponents. In the face of mounting legal challenges, the Biden administration quietly reversed debt cancellation for hundreds of thousands of borrowers. Borrowers who have Perkins loans and Federal Family Education Loans (FFEL) with private lenders no longer qualify for loan cancellation if they didn’t apply to consolidate them before September 29th.

The White House still estimates roughly 43 million federal student loan borrowers are eligible for forgiveness, but most will need to fill out the application to receive it. The Department of Education only has income information for about 8 million borrowers and recommends every federal student loan borrower apply.

Since the application is live, here are some other key dates and details to consider for student loan forgiveness:

Important Dates and Details for Student Loan Forgiveness

November 15th, 2022: Recommended Deadline to Apply

Start gathering your income information now because the Department of Education recommends filling out the application by Nov. 15 to receive forgiveness before payments resume in January. Once you submit your application, you can expect relief within 4-6 weeks if approved. 

January 1st, 2023: Student Loan Payments Resume

Federal student loan payments are currently set to resume at the start of next year after a three-year hiatus. Experts recommend putting together a future budget now that accounts for potentially lower monthly student loan payments and using this time to focus on other important aspects of your finances. Build an emergency fund, pay down high-interest debt, or invest in a traditional retirement plan as those are areas where you can make your money go further right now. 

December 31st, 2023: Application Closes

The Department of Education will continue to process applications for student loan forgiveness through the end of 2023, but you should apply by mid-November to receive relief before the payment pause period ends.


If you qualify for forgiveness, it’s important to update your contact information with your loan servicer, and check your mail or email for up-to-date information about your loans.

Link to Federal Student Aid website –  Click Here

How does the beta application process work?

The federal agency said that there’s no benefit to completing the application before its official launch because it will not be processed until then, but if a borrower fills out the application during the beta period, they won’t have to worry about filling it out again later, that a plus.
The application process takes about 5 minutes, and it’s available in English and Spanish. Applicants also don’t need to log in or provide any documents, according to the department.
The Education Department’s technical team will be working and responding to potential issues in real-time, and although the application itself won’t change, the team may make changes to the website if faced with any technical issues.

How quickly are borrowers expected to get the Loan Forgiveness Benefit?

The Biden administration initially said that the debt relief application would become available in early October, but in a legal filing on Friday, the Department of Education announced that it expected to be available post October 23rd. The application will be available until Dec. 31, 2023.
Candidates have to make sure they are ready with the required documentations. To check the full list, please visit the official portal provided above in this article.

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