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Pell Grant recipients can get $20,000 in student loan forgiveness instead of $10,000. How to check if you qualify

  • If you were the recipient of a Pell Grant, you may be eligible for up to $20,000 in student loan forgiveness instead of $10,000.
  • Qualification for either amount comes with income caps: $125,000 for individuals and $250,000 for families.
  • Here's what Pell Grants are and how to check whether you received one.

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Under the Biden administration's plans to wipe out some student loan debt, one particular type of need-based financial aid that many borrowers receive could mean qualifying for twice as much in forgiveness.

If you were the recipient of a Pell Grant, you may be eligible for up to $20,000 in student loan forgiveness instead of $10,000. Both kinds of relief come with income caps for qualifying: $125,000 for individual tax filers and $250,000 for married couples who file jointly, according to the plan released Wednesday by the White House.

"The idea behind offering more forgiveness to Pell Grant recipients is to target the relief," said Allie Arcese, spokesperson for National Association of Student Financial Aid Administrators.

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Of course, you may wonder, "What is a Pell Grant?" — and perhaps more pointedly, "How do I know if I have a Pell Grant?"

There's a decent chance you received one as part of your financial aid package while at college: Of the estimated 43 million borrowers who will benefit from the administration's forgiveness plan, more than 60% are Pell Grant recipients, according to the administration.

While many borrowers — an estimated 8 million — would see an automatic reduction or elimination of their student loan debt because the U.S. Department of Education has the information it needs, an application process would be implemented for others.

Here's what to know.

How to check if you received a Pell Grant

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