Biden announced the plan alongside Education Secretary Miguel Cardona and other members of his administration on Tuesday. Under the SAVE plan, borrowers making roughly $15 an hour will not have to make any payments, while others earning above that amount will save at least $1,000 a year in comparison to other income-driven repayment plans.
"As long as you pay what you owe under this plan, you'll no longer see your loan balance grow because of unpaid interest. Under the SAVE Plan, monthly payments are based on your income, not your student loan balance," Biden said in remarks recorded on video and released by the White House.
