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Top Democrats in Congress Call on Biden—'With the Stroke of a Pen'—to Cancel Up to $50,000 in Student Debt

Originally published at http://www.commondreams.org/news/2021/02/04/top-democrats-congress-call-biden-stroke-pen-cancel-50000-student-debt

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Joe only wanted $10,000, $50k was what Chuck promoted

$50k is a start, but that’s not going to do it for many degrees/professions

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The student debt trap was honed during W’s tenure at 1600 Pennsylvania Avenue. He declared that all young people should go to college, which, of course is poppycock. On money borrowed by the students, universities build gilded campuses to outcompete each other for students. For-profit “universities” arose to reap their share of the bounty while offering educations that often were not supportive of careers following graduation. Debt forgiveness is indeed in order. Too bad it cannot be retroactive. If nothing else, this debt debacle was a crime against common sense.

I operate a college access program for low-income students and also a loan repayment assistance program for physicians who take the lowest paying jobs in the medical profession, those at community clinics in poor neighborhoods. A recent applicant to the loan repayment assistance program owed $900,932 in combined undergraduate and medical school debt. Another owed about $850,000. These little symbolic gestures, even if they can get Biden to do them, do nothing to address the root cause of the problem, which was created by Biden himself. He sponsored legislation in the 1990s to remove bankruptcy protection from student borrowers. The banks rejoiced, knowing they could loan students any amount of money that they could never get out of paying back. In turn, colleges and professional schools rejoiced, knowing that they could hike their tuition to unheard of levels, and indeed they did so year after year since the 1990s. Our young people are suffering the results, especially those that want to go into public service, like the community clinic doctors. Our education system has become insane and unjust.


But some good came out of it.
Look at that fine institution, Trump University, that totally eclipsed a Harvard education.

I believe it was an ethereal experience. Many people are saying…

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Sounds like this is what he can do with already existing law.

“Their resolution recognizes that Congress has granted the secretary of education authority to cancel up to $50,000 in federal student debt under section 432(a) of the Higher Education Act of 1965. It encourages Biden to not only pursue debt cancellation but also to use his authority under the Internal Revenue Code of 1986 to prevent administrative debt cancellation from resulting in a tax liability for borrowers.”

I know that many professional students end up with more debt than this, but it is a start.

the village idiot who was legacied through Yale and Harvard might be the dumbest politician ever.A total fraud.

go on Biden --you can be popular and your party will retain control—not to mention the money freed up that can be used for other purposes than padding some bank’s coffers(or government’s accounts) with interest payments

Are there really people who believe the Government is going to walk away from over a Trillion dollars? That $Trillion debt is not going to disappear. The Biden Administration is going to need that money. It will just be shifted from one ledger to another. The students parents won’t be held responsible, nor will the politicians, and bureaucrats who ok’d the loans. The burden therefore, will fall on the American taxpayer.

The Government took taxpayer money and loaned it out, leaving a hole that the students were refilling with their Student Loan payments. If the students are relieved of refilling the hole then the taxpayer will have the dubious honor of paying twice for the same education.

It reminds me of the scene in Cool Hand Luke where Luke had to refill holes he had dug, with the same dirt he had taken out. The taxpayer is Luke and we’ll be refilling that hole via higher taxes in the future.