The report said on Tuesday that it is unclear what kind of student relief Biden is expected to provide but the expectations are it could be a brief extension of the existing payment pause and further debt cancellation.
Biden has been considering canceling since at least May the sum of $10,000 in student loans for each borrower.
US media reported later in the day that the Biden administration will forgive up to $10,000 for individuals who earn an income of less than $125,000 a year. In addition, the administration will extend the suspension of student loan payments to January 2023, according to the reports.
The loan payment suspension has been in place since March 2020 in an effort to offset the economic costs of the COVID-19 pandemic and related measures. The pause could be extended to 2023.
More than 40 million Americans hold student loan debt, totaling roughly $1.7 trillion - a figure that exceeds both credit card and auto debt in the United States, according to media reports. One quarter of those borrowers were delinquent or defaulted on their debt prior to the COVID-19 pandemic measures, the report said.