Biden Does Not Support 50K Student Loan Forgiveness
Several Democrats have called on the new President to take action with an executive order and cancel student debt to stimulate the economy.
“The student debt crisis is a racial and economic justice issue and we must finally begin to address it as such,” said Congresswoman Ayanna Pressley on December 17. “Broad-based student debt cancellation is precisely the kind of bold, high-impact policy that the broad and diverse coalition that elected Joe Biden and Kamala Harris expect them to deliver.”
“This is one of those things the president can do on his own,” said Schumer at a Feb 4 press conference. “We are not going to let up until we accomplish it, until $50,000 of debt is forgiven for every student in the country.”
President Biden prefers that the legislation be pushed through Congress and that it be for only $10,000.
Biden rejected the idea during a CNN town hall yesterday.
“The American dream is to succeed, but how can we fulfill that dream when debt is many people’s only option for a degree?” asked a woman. “We need student loan forgiveness beyond the potential $10,000 your administration has proposed. We need at least a $50,000 minimum. What will you do to make that happen?”
Biden did not hesitate saying: “I will not make that happen.” Biden stated that forgiving $50,000 in student debt would disproportionately benefit students from "elite" private universities. However, graduates at top universities typically have lower amounts of student loans coming out of school and down the road.
“It depends on whether or not you go to a private university or public university,” said Biden. “It depends on the idea that I say to a community, ‘I’m going to forgive the debt, the billions of dollars of debt, for people who have gone to Harvard and Yale and Penn.’”
He also stated that the funds could be used “to provide for early education for young children that come from disadvantaged circumstances.”