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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.

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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, 2020 at 15:03
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    @Caleth But that's not what this question is about.
    – Philipp ♦
    Jul 23, 2020 at 15:04

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