How effective would a student loan forgiveness program be if it only applied to Federal student loans, with private loans being exempt?

For example, my student loans exceed $160k with less than $10k being governmental. All my remaining debt is from private financing that would be exempt from forgiveness in this kind of plan, so it would have little effect for me.


Your personal situation appears to be rather the exception than the norm. According to this report, student loan debts of all Americans are:

  • Federal student loans: $1,542.9 B (92.13%)
  • Private student loans: $131.81 B (7.87%)

Most other sources I could find online like this or this only have numbers for recent years, but corroborate that private student loans are only a very small percentage of total student loans in the US.

That means a federal student loan forgiveness program could potentially cover up to 92% of all US student debt.

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  • The government could also buy all the private loans, and then forgive them too – Caleth Jul 23 at 15:03
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    @Caleth But that's not what this question is about. – Philipp Jul 23 at 15:04

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