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Will Biden cancel massive student loan debt? Suddenly, that's looking doubtful
Moneywise via Yahoo Finance ^ | 05/23/2021 | Clayton Jarvis

Posted on 05/24/2021 8:17:59 AM PDT by SeekAndFind

The forgiveness of a significant chunk of the nation’s student loan debt has seemingly been just around the corner since Joe Biden’s election victory in November.

Four months into his term, the pressure remains on Biden to follow through on a campaign promise to forgive $10,000 in federal student loans for every borrower.

Meanwhile, an answer to a bigger question could come as early as next week: whether the president has the power to wipe out five times as much student debt. That would give millions of Americans a much smaller overall debt load.

But, in a new interview, Biden is sounding more skeptical about canceling $50,000 in student loan debt per person, which is the goal of several Democrats in Congress. And a report about the upcoming White House budget suggests $10,000 may be off the table for now, too.

More than 100 online petitions related to federal student loan forgiveness are now attracting scads of signatures. The biggest, on Change.org, has been signed by more than 1 million people and asks Biden to cancel all federal student loans.

While that's definitely a swing for the fences, it reflects the financial struggles familiar to many of the nation’s 43 million-plus student loan borrowers, who are carrying an average balance of $38,792, according to data from the credit bureau Experian.

Before the pandemic, 80% of Americans holding federal student loans "were either unable to pay, or were paying but their balances were going up," writes Alan Collinge, who launched the petition and founded a group called Student Loan Justice in 2005.

A recent study by prominent think tank the Brookings Institution studied the financial impact of various levels of student debt cancellation. With more forgiveness comes the potential for more financial stability, the research found.

(Excerpt) Read more at finance.yahoo.com ...


TOPICS: Business/Economy; Education; Society
KEYWORDS: college; studentdebt; tuition
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To: SeekAndFind

Defund the universities!


21 posted on 05/24/2021 8:38:22 AM PDT by Az Joe (FREE CHAUVIN!)
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To: qwerty1234

Maybe storefront colleges are the way to go.

They would work out better for the students lacking discipline for online education and the tuition money for traditional colleges.


22 posted on 05/24/2021 8:40:59 AM PDT by Brian Griffin
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To: SeekAndFind

Trump should troll Biden and media and come out in support of all this looney leftist crap. Their so blind from their hatred of him that they the may then advocate for the opposite position.


23 posted on 05/24/2021 8:43:10 AM PDT by shotgun
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To: ChronicMA

“he needs money to pay for the programs he wants to start or expand and it looks like his big tax increase does not sit well with some of the most moderate democrats in congress.”

The hold up is probably Biden’s refusal to support the repeal of the state and local tax (SALT) deduction cap.

Federal election Democrats from California and New York State are more worried about having state taxpayers than federally paid babysitters.


24 posted on 05/24/2021 8:46:51 AM PDT by Brian Griffin
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To: Brian Griffin

its ironic that Democrats want to allow unlimited deductions of state taxes for high income taxpayers at the same time they plan to tax the same group of people a bunch more on capital gains.


25 posted on 05/24/2021 8:51:55 AM PDT by ChronicMA
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To: All

Canceling debt wouldn’t solve the problem of the cost of college and would just make it worse since colleges will now know that Uncle Sucker will pay them back anyway.


26 posted on 05/24/2021 8:55:07 AM PDT by escapefromboston (Free Assange )
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To: SeekAndFind

Another possibility is federal repayment payment matching.

If Junior pays $X monthly on his federal student loan which has a balance greater than Junior’s penultimate tax year income, federal taxpayers via Nancy/Chuck/Uncle Joe do too.


27 posted on 05/24/2021 8:59:01 AM PDT by Brian Griffin
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To: SeekAndFind

“43 million-plus student loan borrowers”

Outrageous!

There are not 43 million people in the country with enough brains to benefit from a college education!

If your IQ is below 120, do something else. College is not for you. Why take on that financial monster?

The root problem here is the ludicrous idea that some kid with a 91 IQ has to go to college to lift themselves.


28 posted on 05/24/2021 8:59:31 AM PDT by Mariner (War Criminal #18)
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To: ChronicMA

“its ironic that Democrats want to allow unlimited deductions of state taxes for high income taxpayers at the same time they plan to tax the same group of people a bunch more on capital gains.”

As high-income folks foresee 2022:

California ~= 40% federal + 3% Medicare + 12% FICA +13% state ~= 68%

NYCa ~+ 40% federal + 3% Medicare + 12% FICA + 10% state + 7% NYC ~= 72%

Florida/Texas ~= 40% federal + 3% Medicare + 12% FICA ~= 55%

High-income folks would keep about 60% more of their money by fleeing NYC. Even AOC probably understands that.


29 posted on 05/24/2021 9:09:06 AM PDT by Brian Griffin
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Universities no longer exist as research and educational institutions. They exist solely as money laundering and radicalizing institutions. The very expensive diversity department entire purpose is not to provide opportunities for the “oppressed”, but to create a guaranteed free high dollar tuition check from joe taxpayer. This is why universities are crammed with fake majors with no educational value whatsoever, and entire departments of high school level classes. This is also why there is a push for separate housing and graduation ceremonies. They are trying to prevent clashes between real students who have things like morning classes and homework, and those who are up all night with loud music and have no classes of any academic rigor other than being brainwashed that they are somehow oppressed. A few incidences of asking people to turn their wall vibrating “music” down at 2AM to people who are actively being train d to believe they are oppressed by the “man” will cause a “check your privilege” incident with violence. Enough violence may disrupt their free money train. Same with graduation ceremonies. The parents of real students know that the diversity students are a farce, and the university cannot afford the bad PR of sudden brawls breaking out at the ceremony.
Thus separate ceremonies, and housing so they can hide the scam and train their newly graduated angry foot soldiers for their new careers at Burn Loot Murder, or felchi fa brown shirts since they now have no value to the planet.

I went to engineering school in the 80s and 90’s. My day was waking up, walking to school. Attending classes. Doing homework. Drinking. How much money does that require? Well there is land which is usually granted. Buildings with rooms to maintain and clean. Utilities like electricity. A professor. Basic security. How much does that cost per student? Why is there a need for more than a room to sit with a professor to blab away? Hell in engineering non english speaking TA’s “taught” the class half the time. How are diversity students oppressed? Is somebody preventing them from choosing non fake majors of are minimum standards created solely to prevent the oppressed from choosing majors? Is somebody blocking them from in their walk to school. Are they followed and taunted with racial slurs all along their walk to class? Are supremacists blocking the doors to their classes?

Rather than just spewing free money, perhaps it may be wise to investigate where all that edumacashun money goes and see if there is any way to reduce the fraud errr expenses. Probably can cut the cost 90% by eliminating all administrative positions including diversity.


30 posted on 05/24/2021 9:16:03 AM PDT by dsrtsage
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To: SeekAndFind

No surprise here. But you can foresee the reason for the way it is being done. If Biden decides to forgive $10K of a student loan then next year in 2022 that will have to be reported as income on a 1099. Taxes on that will be coming from an admitted 42M borrowers. that will pay for a lot of gas to bus illegals north.

wy69


31 posted on 05/24/2021 9:24:33 AM PDT by whitney69
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To: SeekAndFind
Student loan debt is on the federal books as an ASSET. An "accounts receivable" against which the federal government's "credit worthiness" is measured. It is the same for any creditor. The value of the loan debt balances on the credit worthiness of the borrower repaying the loan. Destroying the ability of the loan payers to engage in productive work to repay the debt is exactly what the Democrats have been doing. The federal government student loan debt ASSET is about to become a huge bad debt. A non-asset. As that occurs, the ability of the government to pay for anything goes right down the drain.
32 posted on 05/24/2021 9:28:00 AM PDT by Myrddin
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To: qwerty1234
Solve the expense side of the equation and help millions of students for years to come

End federal pell grants and subsidies completely. Once the government gets involved with subsidies, the cost ALWAYS skyrockets. Federal subsidies for education - cost of education skyrockets. Federal subsidies for housing, cost goes up. Federal subsidies for insurance, cost goes up. End the federal subsidies now.

33 posted on 05/24/2021 9:33:49 AM PDT by dware (Americans prefer peaceful slavery over dangerous freedom)
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To: SeekAndFind

Hey, I paid off my school. Where the F is my money?


34 posted on 05/24/2021 9:34:56 AM PDT by Agatsu77
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To: SeekAndFind

It has become “federally insured student slavery.”

College graduates have worthless degrees that do not lead to decent-paying jobs. They are stuck with enormous debt and no way to repay it.

It would have been better for everyone if federally-insured student loans had NEVER been granted.


35 posted on 05/24/2021 9:40:09 AM PDT by Gnome1949
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To: Mariner

Back in the 80’s when I was at SU there were a lot of young ladies that were sent there by Daddy for one reason only.
It was not to get an education.

It was to find a Dad a future son in law.


36 posted on 05/24/2021 9:51:36 AM PDT by woodbutcher1963
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To: qwerty1234

I agree with you about the fact that so many professors are way over paid.
However, the revenue generated by NCAA athletics is in the billions. That sh&ty coach in MEN’S football, basketball and (maybe) hockey bring enough revenue to fund all those other girls NCAA sports programs that only their parents care about.

NCAA MEN’S Basketball and Football are huge money makers for almost all the colleges involved. That is why there continues to be a big push to pay these division one players that are at FU just to play ball.


37 posted on 05/24/2021 10:01:16 AM PDT by woodbutcher1963
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To: qwerty1234

professors getting 200-300K or more to teach 1-2 classes a week (mostly done by their low paid assistants anyway).
————
True that. Most teaching faculty make about $300 ($50/ hr) to $600 ($100/ hr) a week - only get paid for hours taught and 1 hour per week prep time. And are limited to 2 classes a week.

Only foreigners are becoming full-time faculty most places - it’s needed for their H1B visa - in education, the visas are not limited and in addition to the ones given to IT workers.


38 posted on 05/24/2021 10:19:21 AM PDT by Starcitizen (So Indian H1B crybaby trash runs Free Republic moderation??? Seems so. )
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To: qwerty1234

If you wasted your time in college, and didn’t improve your prospects enough to make $300-$400/month in college loan payments, then you are beyond hope anyway
——————
Only 26% of recent American STEM graduates are able to get jobs in their own field after graduation, as compared to 100% of foreigners. See OPT.

And these are the “right” degrees, not Liberal Arts or “studies”


39 posted on 05/24/2021 10:22:30 AM PDT by Starcitizen (So Indian H1B crybaby trash runs Free Republic moderation??? Seems so. )
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To: SeekAndFind

Forgiving student loans isn’t a strong campaign platform. Promising to forgive them is. Welcome to the real world, kids.


40 posted on 05/24/2021 10:30:11 AM PDT by Billthedrill
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