Confusion is surrounding President Biden's student loan forgiveness plan as the application is set to open up any day now. Cheddar News explains the changes that are leaving borrowers scratching their heads about the process.

Today Explained: State of Biden's Student Loan Forgiveness Plan

it's time for today explained where we break down some of the biggest stories in the news, how we got here, Where we go next. The application for President, biden's student loan forgiveness plan is expected to go live any day now. But there's still a lot of confusion about who qualifies who doesn't and when the relief will actually reach the pockets of americans. That's because there's been some changes to the initiative since the biden administration first announced this last month in response to new litigation from several states challenging the sweeping forgiveness plan. The Department of Education abruptly and quietly changed the eligibility rules last week. Under the new guidance, borrowers who have federal student loans owned by private entities no longer qualify for the relief program. The administration previously said those borrowers would be able to receive between $30,000 in forgiveness. But amid mounting legal threats from Republican led states, the biden administration decided to scale back the relief program, serving a gut punch to the many borrowers who had been celebrating the welcome news. According to NPR, about 800,000 borrowers are now excluded from the relief. Many more could end up getting less money than they were entitled to under the old guidelines. While that's a small portion of the roughly 43 million borrowers with federal student loan debt, it's still impacting the lives of those people who thought they were getting some kind of financial relief. The Education Department says it's trying to figure out alternative ways to provide relief to these borrowers and is discussing possible actions with private lenders. In the meantime, millions of borrowers are waiting for the formal application site to launch again any day. Now. As more time passes, more concern is growing that additional legal challenges will surface, possibly delaying or even pausing the rollout of relief altogether.