Progressives are increasing the pressure on Biden to cancel student loan debt
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Progressives put pressure on President Biden to enact student debt relief, while Secretary of Education Miguel Cardona examines the government’s legal authority to cancel some of the $ 1.7 trillion in student loan debt.
“We have to keep pushing until it happens. Many thanks to our co-conspirators @AyannaPressley @SenSchumer and @ewarren for their efforts,” wrote MP Ilhan Omar, D-Minn., On Twitter on Saturday.
“The repayment of student loan debt is a question of racial, economic and intergenerational justice. Rep. Pressley, [Massachusetts Attorney General Maura] Healey and I urge President Biden to act. #CancelStudentDebt, “Senator Elizabeth Warren, D-Mass., said last week after a press conference on the matter.
TERMINATION OF STUDENT LOAN DEBT COULD DO THE MOST BENEFIT TO RICH AMERICANS
“President Biden can cut up to $ 50,000 in student loan debt for the American people with the stroke of a pen. Let’s make it happen. #CancelStudentDebt, ”wrote Rep. Ro Khanna, D-Calif., On Twitter.
Even Senate Majority Leader Chuck Schumer, DN.Y., joined in.
“Today would be a great day for President Biden and Vice President Harris to quit #student debts,” Schumer continued Twitter on Saturday.
The White House said Biden does not endorse $ 10,000 debt relief for all borrowers.
“The president is not advocating an unconditional $ 50,000 relief on student loans,” a White House spokesman told Fox News last week.
Any debt relief over $ 10,000 must be targeted, “based on the borrower’s income, based on the type of debt in question,” the White House said.
White House Chief of Staff Ron Klain told Politico on Thursday that Cardona was preparing a report for the president on his legal authority to cancel student debts.
“He asked his education minister, who has only been in office for a few weeks once he left, that his department should make a memo of the president’s legal authority, and we will hopefully see that in the next few weeks.” said Klain to Politico. “And then he will look at this legal authority, he will look at the related political issues and make a decision.”
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The president campaigned for up to $ 10,000 in student debt per borrower, but the Democrats passed a resolution in February urging him to raise that number to $ 50,000. The NAACP is one of the best-known groups that has partnered with progressives to push for student debt relief.
However, according to an analysis by the University of Chicago’s Becker Friedman Institute for Economics, the plan could benefit wealthy Americans disproportionately. The study showed that paying off all student loan debt would distribute $ 192 billion to the top 20% of U.S. earners, but only $ 29 billion to the bottom 20% of U.S. households.
Under a universal lending program, the average individual among the highest-earning borrowers would receive $ 5,944 in forgiveness while those with the lowest incomes would receive $ 1,070 in forgiveness, according to the study.
Paul Best of Fox News and Megan Henney of FOX Business contributed to this report.