A three-part plan delivers on President Biden’s promise to cancel $10,000 of student debt for low- to middle-income borrowers
Most federal student loan borrowers will be eligible for some forgiveness: up to $10,000 if you didn’t receive a Pell Grant, which is a type of aid available to low-income undergraduate students, and up to $20,000 if you did.
The skyrocketing cumulative federal student loan debt—$1.6 trillion and rising for more than 45 million borrowers is a significant burden on America’s middle class.
President Biden’s plan to cancel student-loan debt and extend a repayment pause means that the government is transferring debt from borrowers to taxpayers.
This plan is expensive, regressive, and fundamentally unfair to all Americans, especially those who did not take out student loans or who paid them off entirely.
“The median American with student loans has a significantly higher income than the median American overall,” says Senate Minority Leader Mitch McConnell
President Biden is announcing a three-part plan to provide more breathing room to America’s working families as they continue to recover from the strains associated with the COVID-19 pandemic.