Breaking the Chains: Biden Administration Erases $39 Billion in Student Loan Debt.
In a move aimed at providing much-needed financial relief to struggling borrowers, the Biden administration has taken a significant step by wiping out $39 billion in student loan debt. This initiative will benefit a total of 804,000 borrowers whose outstanding loans have been burdened for more than two decades.
The Department of Education spearheaded this relief effort and has been working diligently to rectify administrative errors that hindered some borrowers from qualifying for student loan relief. The errors primarily resulted from inaccuracies in tracking borrowers’ progress toward loan forgiveness. US Secretary of Education Miguel Cardona expressed his sentiments: “For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness.”
Under this plan, eligible borrowers will be notified of the discharge of their loans in the coming weeks. To be eligible for forgiveness, borrowers are required to have made payments for 20 or 25 years, depending on their specific repayment plan.
BREAKING: U.S. President Joe Biden's administration will cancel $39 Billion in student loan debt for more than 804,000 borrowers, the Education Department said on Friday 🙏🎉 pic.twitter.com/djIQe4UaH6
— Daily Loud (@DailyLoud) July 14, 2023
Notably, this move by the Biden administration comes shortly after the US Supreme Court’s ruling that struck down the broader $400 billion student loan relief proposal put forth by President Biden. The Supreme Court deemed that the administration had exceeded its authority with the program, which aimed to forgive up to $10,000 per borrower, and in certain cases, up to $20,000.
Despite this setback, President Biden remained determined to find alternative ways to offer student loan forgiveness, asserting that the court’s decision had merely closed one path and they would explore new avenues.
Advocates of student loan borrowers’ rights have welcomed the recent actions by the administration. Abby Shafroth, co-director of advocacy at the National Consumer Law Center, praised the move, emphasizing that Congress has the power to right the wrongs within the student loan system.
It’s worth noting that President Biden has consistently taken steps to provide targeted student loan relief through executive actions since taking office. Last year, he canceled student loan debt for 200,000 borrowers who had been victims of harm or fraud perpetrated by their universities.
-
Has the State of USA Improved Since Trump’s Presidency or Gotten Worse? Given the current climate of the United...
-
In a surprise speech delivered from the White House, President Joe Biden addressed the recent special counsel’s report and...
-
Is Texas Taking the Right Step Towards a Better America? The Austin Guaranteed Income Pilot, Texas’s pioneering tax-payer-funded basic...
-
Candidates Clash on Trump, Economic Policies, and Hot-button Topics in California Senate Race Four candidates vying for a U.S....
-
Newly Released Footage Reveals Arrest at Miami Airport Newly released body camera footage reveals the arrest of 73-year-old Donna...
-
President Biden’s re-election strategy balances White House proximity with campaign focus in a unique approach to the upcoming election....
-
Jackson Pierce Arrested for Second-Degree Murder and Tampering with Evidence in St. Peters Homicide Case The St. Peters Police...
-
The Trump campaign is optimistic about winning the Iowa caucuses, anticipating a significant margin as a litmus test. A...
-
President Biden takes action in response to attack on U.S. service members Early Christmas morning, three U.S. service members...
-
Neal Brij Sidhwaney Faces Potential Prison Sentence for Voiced Threats Against Unnamed Supreme Court Justice. Neal Brij Sidhwaney, a...
-
Silver Sedan Hits Secret Service Vehicle in Wilmington Incident; President and First Lady Safely Evacuated. President Joe Biden and...
-
Concerns Rise as Inner Circle Signals Retribution Against Opponents and Media Recent statements from key allies within Donald Trump’s...