Ask Terry Questions Forgiving student debt

Forgiving student debt

By Terry Savage on April 20, 2022 | College Savings / Student Loans

Hi,

If student debt is forgiven going forward will the amount forgiven be taxable income? Also if it does go through will it include parents debt?

Thank you!

Terry Says

That would depend on how the forgiveness would be structured. As of now, there is no discussion of a forgiveness program –other than the standard repayment plan, and the Public Service Loan Forgiveness program, and the program for students of for-profit schools that went bankrupt.
Read this latest:

Recent College Savings / Student Loans Questions

money

ASK TERRY

a personal
finance question