Vice President Joe Biden announced Wednesday that he would provide an amount of $20,000 for debt relief in debt relief to Pell Grant recipients as well as $10,000 to other borrowers. 

Around 43 million Americans have student loan debt from federal government in the amount of $1.6 trillion, as per the most recent data from the federal government. 

Biden's decision is subject to an income limit for each individual of $125,000..  President Trump also announced the extension of the suspension of student loan payments until the end of this year.  

Students who are in graduate and undergraduate programs will receive the forgiveness of up to $10,000 student loan -

Who is eligible for Biden's student loan forgiveness?

- debt from the federal government for those who earn less than $125,000 annually or for couples who earn less than $250,000 per year. Private loans are not granted forgiveness.

The Education Department said nearly 8 million borrowers are most likely to get their loans repaid immediately since the department already has data on their earnings. 

More information on these and other borrowers will be available within the next few weeks.  All borrowers who are not eligible will need to file for loan forgiveness. 

applications will be made available "no later" than Dec. 31st, at the time that the freeze on student loan payments comes to an end.