Forgiveness for Pell Grant recipients benefits Hawaii teachers
Posted: September 1, 2022
Jenifer Evans grew up missing school to stand in line at the food bank with her father and siblings for a chance to get household staples like protein and bread.
Now, Evans, a third-grade teacher at Hahaione Elementary School, will have her entire $19,000 student loan debt wiped clean thanks to President Joe Biden’s student loan forgiveness plan. It eliminates up to $20,000 in debt for people who earn less than $125,000 a year.
Evans received Pell Grants, or grants awarded to low-income students, to attend the University of Hawaiʻi at Mānoa. Pell Grant recipients can have up to $20,000 of their college loans forgiven while other college loan recipients are eligible for $10,000 in loans to be erased under the plan Biden announced last week.
“Unlike most people, becoming a teacher was a step up for me,” Evans said. “Student loans have been a struggle though. While education was always emphasized by my first-generation Filipino mother and my military father, it was not something they were able to help me with.”
Biden’s plan is part of a large effort by the president’s administration to cancel student loan debt for tens of thousands of Americans.
Changes include revamping the Public Service Loan Forgiveness Program (PSLF) which, before its overhaul, severely limited who could qualify for student loan forgiveness. At Biden’s direction, the U.S. Department of Education enacted a temporary waiver that allows borrowers to receive credit for past periods of repayment that would otherwise not qualify for PSLF.
However, the opportunity to apply for the waiver ends Oct. 31.
Biden’s recent announcement also included a final four-month extension of the pause on student loan repayment, interest, and collections through Dec. 31. The pause, which began during the pandemic, had been set to expire at the end of August.
Evans said she benefited from the pause in payments during the pandemic.
“It allowed me to create financial stability that I have never experienced before. I was able to move into my own home, rather than rent, and begin to build some modest savings,” she explained.
Once Evans is free from student loan debts, she plans to purchase her first car after driving a family hand-me-down for the past eight years.
“I am excited to enter a chapter in life where I can think beyond meeting my needs and explore the possibilities of starting my own family in Hawaiʻi,” she said. “With my loans possibly forgiven, I don’t feel the pressure to work three to four jobs, which is typical for me prior to forgiveness and the pause. This allows me to take time to recharge and be fully present in the classroom.
“I am hopeful that this is just the beginning as our country creates equity and opportunity for higher education, especially as I imagine the future for my students,” she said.
The application to apply for up to $20,000 in student debt cancellation should be available by early October. You can sign up to be notified when it is available through the U.S. Department of Education’s subscription page.
If your application is approved, the department says you can expect student loan relief within four to six weeks.