The website of the Federal Student Aid (FAFSA), which goes by the name STUDENTAID.GOV, is suffering difficulties and crashes as a result of an increase in site traffic.
Wednesday, a large number of student loan borrowers complained that they were unable to access their loan information following the announcement of President Joe Biden’s long-awaited student debt forgiveness plan, which presumably led to the overloading of loan servicers’ websites.
The company Nelnet, which handles more than forty percent of all federal student loans and is therefore by far the largest federal student loan servicer, became a trending topic on Twitter after borrowers complained about their inability to access the company’s website. Nelnet is the largest federal student loan servicer.
According to Downdetector, the website for the Federal Agency for Student Aid, which is more commonly known as FAFSA, also suffered a substantial increase in the number of outages beginning immediately after the White House revealed its plan.
It appeared as though several other servicers’ websites, such as those operated by Aidvantage, EdFinancial Services, and MOHELA, were also affected by slowdowns or crashes.
Wednesday, the White House announced that borrowers earning less than $125,000 annually will have $10,000 of their federal student loans canceled. However, individuals who obtained Pell grants to attend college are eligible for $20,000 in debt cancellation. According to the White House, up to 43 million borrowers would receive relief, with around 20 million borrowers having their federal debt completely canceled. The suspension on loan repayments that has been in effect since the start of the Covid-19 outbreak will also be “finally extended” until the end of the year.
27 million. According to the White House, this many borrowers are eligible for $20,000 in relief. According to the White House, almost 60 percent of borrowers got Pell awards.
It is uncertain how legal challenges to Biden’s executive order would affect the implementation of debt relief.
