Today, President Biden announced the approval of $1.2 billion in student debt cancellation for almost 153,000 borrowers currently enrolled in the Saving on a Valuable Education (SAVE) repayment plan. The Biden-Harris Administration has now approved nearly $138 billion in student debt cancellation for almost 3.9 million borrowers through more than two dozen executive actions. The…
That’s a lot of money for not many people. What’s the general consensus about it ? I’d be curious if perhaps they paid half of the student debt, or forced a 0% interest rate or something if that would still make a difference without such a huge sum of moolah
I believe they are doing the best they can, and I’m happy for the people who got their loans forgiven.
Yup, student loans are awful and non-dischargable debt - any that get paid off are cause for celebration.
Is there any change in the future? Say 5 years from now, will people still get their loans forgiven, or is this only a snapshot payment ?
I’ve thought since day one that it’s the interest that should be forgiven.
Paying back the principle loan is fine, but milking people their entire life for several times what they borrowed is predatory as fuck.
Yep, I have no problem at all paying back my student loans. But I’ve always found it odd that federal loans charge interest beyond just servicing the loan. Dump the interest and make it a flat fee, or change the interest to like 1%.
It’s almost $8,000 per person involved. A small enough investment in the future.
I was looking at the later number 138b for 3.9m people. That’s nearly 35k per individual?
Considering the medical field student loans, that probably causes a major increase.
0% interest would have been better but the banks that process/hold the government guaranteed loans would no longer profit so they aren’t going to let that happen.
Yeah, some other systems are government backed loans that are 0% interest but rise with CPI (inflation) yearly. It sounds like there needs to be some significant regulation around the US study loan process
Then again, there’s quite a bit of leeway between no interest and several hundred percent in interest and fees over decades.