Addressing CT's Student Loan Debt Crisis

March 4, 2022

Did you know that from 2007 to 2020, student loan debt ballooned by 144% in the United States? In Connecticut, there are nearly 500,000 borrowers who have about $17.5 billion in student loan debt. The average borrower in the Class of 2020 graduated with an average of $35,853 in student debt. The cost burden of student debt can impact borrowers' ability to build wealth, contribute to their families, and engage with their community.

This session, I co-introduced SB 250 to address our state's student loan debt crisis that has prevented many of our college grads from meaningfully contributing to the economy and moving forward in their lives. 

The proposal creates a student loan forgiveness program for Connecticut residents who attended a Connecticut state college or university. It would pay $5,000 of a participating borrower's loan each year they are in the program for up to 5 years for a total of $25,000. Payments would be made directly to the Connecticut Higher Education Supplemental Loan Authority (CHESLA) for loan forgiveness. Borrowers must meet the following eligibility requirements:

  • Must be a Connecticut resident for five consecutive years
  • Must have graduated from a public institution; CSUs and UConn
  • Must have been a working professional for at least two years
  • Must complete at 100 hours of service each year to get your loan forgiven

Student loan debt relief is a matter of economic and racial justice as student debt has the most impact on low-income borrowers, first-generation borrowers, and borrowers of color. 

You can learn more about this proposal here.

PUBLIC HEARING SCHEDULED ON SB 250

If you have a story that you would like to share with the Higher Education and Employment Advancement Committee, there will be a public hearing on this bill and several others on Tuesday, March 8 at 11:30 a.m. You can register to testify before the committee via Zoom using the On-line Testimony Registration Form. If you do not have internet access, you may provide testimony via telephone. To register to testify by phone, call the Phone Registrant Line at (860) 240-0344 to leave your contact information.

Registration closes on Monday, March 7, 2022 at 3:00 PM. You may also email written testimony in Word or PDF format to HEDtestimony@cga.ct.gov.