Biden Approves $6.1 Billion in Student Debt Cancellation for More Than 300,000 Americans

President Joe Biden will forgive approximately $6.1 billion in student debt for more than 300,000 former students at The Art Institutes, the White House announced on Wednesday.

The debt relief will apply to borrowers who enrolled at any of the campuses belonging to The Art Institutes, a private-for-profit system of art schools across the country, between Jan. 1, 2004, and Oct. 16, 2017, according to a White House statement.

The administration is using its authority under an existing federal student loan program, known as borrower defense to repayment, to wipe out the loans on the basis that borrowers were defrauded by their college.

All relief will be automatically applied to the students, regardless of whether or not they have applied for borrower defense, the administration said.

The billions of dollars in automatic student loan relief are being granted following a review of the now-defunct network of for-profit colleges by the Department of Education (DOE).

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