What to know about Biden's latest attempt at student loan cancellation

President Joe Biden is taking another shot at student loan cancellation, hoping to deliver on a key campaign promise that he has so far failed to fulfill.

In a visit to Wisconsin on Monday, Biden detailed a proposal that would cancel at least some debt for more than 30 million Americans. It’s been in the works for months after the Supreme Court rejected Biden’s first try at mass cancellation.

Biden called the court’s decision a “mistake” but ordered the Education Department to craft a new plan using a different legal authority. The latest proposal is more targeted than his original plan, focusing on those for whom student debt is a major obstacle.

Here’s what to know about the new plan:

HOW IS THIS DIFFERENT FROM BIDEN’S FIRST PLAN?

Biden’s first attempt at widespread student loan cancellation would have erased $10,000 for borrowers with yearly incomes of up to $125,000, plus an additional $10,000 if they received federal Pell grants for low-income students. It was estimated to cost $400 billion and cancel at least some student debt for more than 40 million people.

The Supreme Court rejected that plan last year, saying Biden overstepped his authority.

The new plan uses a different legal justification — the Higher Education Act, which allows the secretary of education to waive student loan debt in certain cases. The Education Department has been going through a federal rulemaking process to clarify how the secretary can invoke that authority.

The new plan targets five categories of borrowers, focusing on those believed to be in the greatest need of help. It would provide relief to an estimated 30 million borrowers. The administration has not said how much the plan would cost.

WHO’S ELIGIBLE?

Biden’s new proposal would