Thousands of Americans have days left to apply for up to $1,000 in debt relief – see exact date

TIME is almost up for Americans to claim up to $1,000 in debt relief.

In July, Maryland launched a student loan relief tax credit program for 2022.

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The program has been operating annually for several years.

More than 40,000 Marylanders have received the tax credit since the program was introduced in 2017, providing nearly $41 million worth of total support, according to the office of Governor Larry Hogan.

In 2021, 9,155 residents received the credit.

Residents who attended school out of state are still eligible for the tax credit but may not receive as large an amount as those who went to a Maryland school.

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For example, those who went to school in-state got more than $1,000 and those who attended out-of-state schools received $875 in credits in 2021.

Who is eligible? 

There are a couple of requirements you must meet to qualify for the credit.

First, you must be a taxpayer who has had at least $20,000 worth of debt as an undergraduate or as a graduate student.

When applying online for the relief, you must have at least a balance of $5,000.

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The following groups of Marylanders will be prioritized for debt relief, according to the state.

• Did not get a tax credit last year.
• Qualify for in-state tuition.
• Graduated from an upper education institution, based in Maryland. 
• Those whose debt exceeds income ratios. 

The deadline to apply is this Thursday, September 15.

What’s going on federally? 

The move by Maryland comes as President Joe Biden has announced he will cancel thousands of dollars worth of debt for millions of student borrowers.

Anyone with outstanding student debt who earns less than $125,000 annually qualifies for forgiveness.

The relief can go as high as $20,000 for those who went to college with a Pell Grant.

But for others, it will be $10,000 per borrower.

Additionally, Mr. Biden has paused payments four different times to help relieve the burden on Americans who were financially hurt during the Covid-19 pandemic.

Along with the decision to forgive thousands of dollars in student loans, the Biden administration announced it was extending the student loan repayment pause until the end of the year for one final time.

Those with a remaining balance on federal student loans should plan on making their next payment in January.

Reportedly, applications for student debt relief could open in weeks, with the deadline to submit set for December 31.

However, nearly 8 million Americans may get their relief automatically because income data is already available to the Department of Education.

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For more related stories, see how many Americans have student loan debt.

And learn more about how workers in certain fields can qualify for student debt forgiveness, regardless of income.