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3 Million Student Loan Borrowers Have Monthly Payments Cut to $0

In total, 5.5 million borrowers were enrolled in the Saving on a Valuable Education (SAVE) plan as of Oct. 15, meaning more than half of those who have signed up so far have income levels that qualified them for $0 monthly payments. On average, all borrowers in the plan have had their monthly bills reduced by $102, amounting to a savings of $1,224 a year from pre-SAVE levels.

“SAVE is doing what it said it was going to do, which is to provide significant relief,” says Betsy Mayotte, the president of The Institute of Student Loan Advisors, a nonprofit organization that provides free student loan advice to borrowers. “Especially to borrowers whose loan balances are high compared to their income.”