Mayor Eric Adams introduced a major new initiative Thursday designed to assist New York City residents in cutting student loan debt and amassing college savings, ultimately putting up to $1 billion back into working families’ hands.
Expanding a trial collaboration with the company Summer, this program now provides wider access to services and advice aimed at reducing monthly student loan payments and preparing for higher education expenses. After starting for municipal workers in May, the program now serves all 8.5 million city residents.
Lower Payments, Higher Savings
Up to now, 2,000 civil employees have had over $13.8 million in student debt canceled. With the rollout’s extension, an estimated 1.4 million local student borrowers and 1.6 million families of college-bound youth will get access to Summer’s no-cost online portal.
The tools allow users to assess various repayment options, manage federal loan documents, and explore forgiveness programs. Borrowers with advanced degrees could save as much as $7,000 per year; families may reduce annual college costs by $10,000 per child.
“Getting an education shouldn’t lead to a lifetime of debt,” Adams said. “We are lowering costs for families, helping them connect to debt relief, and making our city the best place to find opportunity, raise a family, and live the American Dream. New Yorkers deserve their fair share, and our administration is delivering it to them every day.”
One-Stop Tools for Families and Students
Residents can now use Summer’s portal to calculate projected college expenses, look at saving ideas, and enroll in federal programs. These tools add to present city efforts like NYC Kids Rise, which encourages family savings for public schoolers’ futures.
“Leading a financially healthy life is a difficult task when you are tackling student loan debt — something I know firsthand,” said Consumer and Worker Protection Commissioner Vilda Vera Mayuga.
Broader Strategy to Alleviate Financial Stress
Adams’ student loan push forms part of a larger plan to keep New York affordable. His team has connected citizens to $30 billion in benefits, raised tax credits, moved $2 billion in medical debt off the books, and offered thousands help through DCWP financial counseling and free tax assistance.
Elected officials and activists commended the step, calling it a new standard for local governments looking to address the student debt crisis.
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