President Biden forgives $39 billion of student loan debt: Mapping where it will help the most
The Biden administration wipes out $39 billion of student loan debt for 804,000 borrowers.
This follows President Biden’s promise to continue pursuing student debt relief following the Republican packed Supreme Court’s decision to strike down his administration’s loan forgiveness plan. The Automatic Loan Forgiveness is a result of fixes to Income Driven Repayment Plans.Did you know that millions of Americans in there 50’s and 60’s are still paying off their student loans? How many student loan borrowers are there in your state? How much is do they owe? Where will President Biden’s debt forgiveness plan likely to have the most impact? Check this map.
Relief for student loan borrowers
“Tens of millions of borrowers in the U.S. collectively owe more than $1 trillion. The Supreme Court’s six conservative justices recently killed President Biden’s historic forgiveness plan — and the coming payment resumption carries significant economic and political implications. Republicans drove the lawsuits challenging it, criticizing it as a “bailout for the wealthy,” and GOP presidential candidates immediately praised the Supreme Court’s decision. – AxiosYoung Americans are piling the blame for their student debt balances on conservatives, according to a poll by Generation Lab provided exclusively to Axios. The high court’s recent decisions on education, including student loans and affirmative action, could drive young voters to the polls.
Republican packed Supreme Court at work
GOP backlash against relief for struggling students
- Under Biden’s plan, qualifying borrowers would have been forgiven for loans up to $10,000 if they made under $125,000 per year or $20,000 for Pell Grant recipients. Its announcement last summer incited immediate GOP backlash.
Details of $39 billion of student loan debt relief
- The Biden-Harris administration said it was addressing “historical failures” in which qualifying payments under those plans that should have brought borrowers closer to qualifying for debt forgiveness, but were not properly accounted for.
- Under existing income-driven repayment plans, borrowers can get their remaining student loan balance wiped after they have been making payments for 20 or 25 years.
- To get some borrowers to that threshold, the administration counted partial and late payments, as well as periods when a borrower was in certain categories of forbearance or deferment.
Details of $39 billion Student debt relief
Keeping his promise to student borrowers
“The total record of the Biden administration on forgiving student loans includes:
- $45 billion for 653,800 public servants through improvements to PSLF;
- $5 billion for 491,000 borrowers who have a total and permanent disability; and
- $22 billion for nearly 1.3 million borrowers who were cheated by their schools, saw their schools precipitously close, or are covered by related court settlements.
President Biden is correct: The only permanent solution to the student loan debt crisis that is financially crippling millions of Americans is congressional action. However, as long as Republicans are in control of any part of Congress, there is no chance of a permanent legislative solution. Biden seems to be doing everything he can through his use of executive authority and the implementation powers of the Executive Branch of the federal government. The President is keeping his promise to student borrowers, even if the Supreme Court continues to make working people suffer.” – PoliticusaTakeAway: Vote for democrats to get permanent student debt relief.Deepak
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Reposted from Democracy Labs with permission.