Though the Biden administration has forgiven chunks of student loan debt here and there, this latest ambitious plan would not require anyone to sign-up and is automatic, with a low threshold to receive the benefits.
The White House explained their ambitions yesterday, April 8th, stating:
Today’s announcement lays out the plans the Biden-Harris Administration is pursuing through that effort. In total, these plans would fully eliminate accrued interest for 23 million borrowers, would cancel the full amount of student debt for over 4 million borrowers, and provide more than 10 million borrowers with at least $5,000 in debt relief or more.
More than 25 million borrowers owe more than they originally borrowed, including many who have made years of payments, due to the interest rates on Federal student loans. President Biden will announce plans that, if finalized as proposed, would cancel up to $20,000 of the amount a borrower’s balance has grown due to unpaid interest on their loans after entering repayment, regardless of their income. Low and middle-income borrowers enrolled in the SAVE plan or any other income-driven repayment (IDR) plan would be eligible for the entire amount their balance has grown since entering repayment to be canceled under the Administration’s plans. This group of borrowers includes single borrowers who earn $120,000 or less and married borrowers who earn $240,000 or less. No application will be needed for borrowers to receive this relief if the plan is implemented as proposed.
Millions of the borrowers who could be helped by these plans have continued to see their balances grow because of accrued interest, despite making their monthly payments. Many have also had this unpaid interest capitalized, meaning it is added to their principal balance and borrowers are now paying interest on that higher amount. The Administration’s plan would forgive interest balances built up to date for 25 million borrowers, with 23 million likely to have all of their balance growth forgiven.
This plan builds off the actions the Biden-Harris Administration has already taken to prevent the negative effects of excessive interest accrual on student loans going forward by eliminating all interest capitalization not required by law. The SAVE Plan does not charge unpaid interest for borrowers who make their monthly payments, and has canceled interest for at least 4.5 million borrowers to date.
The other key tenets include:
- Automatically canceling debt for borrowers eligible for loan forgiveness under SAVE, PSLF, closed school discharge, or other forgiveness programs but not enrolled
- Canceling student debt for borrowers who entered repayment over 20 years ago
- Canceling student debt for borrowers who enrolled in low-financial-value programs
- Canceling student debt for borrowers experiencing hardship paying back their loans
- Providing relief to millions of borrowers this year
AUTHOR COMMENTARY
Nothing is finalized and this is not a lock, it’s just a proposal and most likely empty promises. The Biden administration tried canceling a ton of student loans last year, but was shutdown by the Supreme Court as not being legal.
I reported in February that the White House has bragged that they have already forgiven $138 billion in student loans.
Will Biden and crew succeed this time? Doubt it; but as long as it cons enough suckers to vote for him, then that’s all that matters.
This might be a “hot take,” but honestly, with the way things are shaping-up, I would not be shocked in the slightest in Biden is re[s]elected as President again. Too early to say but it’s starting to look like that to me.
And who’s going to pay for this? You guessed it, you and I will, via taxation and hidden taxes baked into inflation. Money does not just fly away to money heaven, it just transfers from one asset class to the next; and so in order to pay for this “forgiveness,” we the American tax cattle must flip the bill by paying more in taxes and inflation, generated through money printing to service the debt that is never repaid.
Owe no man any thing, but to love one another: for he that loveth another hath fulfilled the law.
Romans 13:8
Getting into debt is a very easy and enticing trap to get into, and your typical preacher and pastor, these generations of hypocrites playing religion, wouldn’t dare touch this topic with a ten-mile pole, warning their congregations to flee debt and servitude, as they themselves are some of the biggest debtors we got in this country!
The wicked borroweth, and payeth not again: but the righteous sheweth mercy, and giveth.
Psalm 37:21
People who get themselves into debt, especially those who carry massive amounts, and have no real intention to get it paid-off via hard work and living well below their means, and are banking others to pay for it, are thieves and criminals and should be viewed and treated as such; and on just the debt issue alone we have multiple generations of thieves and robbers, forcing each generation proceeding to pay for other people’s theft. Gen-Z and Gen Alpha have already inherited so much debt before they’ve even entered the workforce, let alone finish potty training, is absolutely repulsive and has completely stolen any real chance of financial freedom for their future, by conventional economic standards that is.
Do not fall for the college scam. To my Gen-Z friends, and to those coming up, listen to me: don’t allow yourself to be enticed by the scam. If you got out and skipped college, then good for; but if you are a Gen-Z’er my age, and you got yourself into massive debt and praying for a bailout with no real intent to pay for it, then shame on you, thief: and don’t use the excuse of, ‘I got tricked into it.’ Then how did I avoid the temptation and snare? What does that make me and what does that make you then?
These are the cold, hard truths that so many do not want to discuss and or acknowledge, and instead play the blame game, lest they be forced to look in the mirror and be judged…
A wicked man hardeneth his face: but as for the upright, he directeth his way.
As in water face answereth to face, so the heart of man to man.
Proverbs 21:29, 27:19
[7] Who goeth a warfare any time at his own charges? who planteth a vineyard, and eateth not of the fruit thereof? or who feedeth a flock, and eateth not of the milk of the flock? [8] Say I these things as a man? or saith not the law the same also? [9] For it is written in the law of Moses, Thou shalt not muzzle the mouth of the ox that treadeth out the corn. Doth God take care for oxen? [10] Or saith he it altogether for our sakes? For our sakes, no doubt, this is written: that he that ploweth should plow in hope; and that he that thresheth in hope should be partaker of his hope. (1 Corinthians 9:7-10).
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I pray these universities with their useless and atheist degrees get shut down soon, they won’t be missed.
Women’s studies or gender studies, communications, psychology, sociology, fine arts, liberal arts, African American studies, Asian American studies, Hispanic American studies, and so on, majors that are as useless as an ashtray on a pogo stick, degrees that are as useless as a jet engine on a skateboard, only to wind up in five figures of debt and working at Burger King and expect everybody else to pick up the slack for them, I don’t think so!
I hope these universities collapse and crumble and those buildings lay dormant and abandoned!
Amen
Empty promises to people they’ll shaft again as surely as they made all the false promises & temptations of ‘upper ed’ to them in the first place.
It’s easy to blame those with debt, while the economy doesn’t give jobs to get. In the same way, not all people are given the same opportunity, while lazy nothings are given everything just ’cause you know, they have privilege, even if they’re just druggies, or whatever.
I also, am exhausted with these people that think it’s “Their Right” to have these college loans forgiven. Not only are they “thrives, but also Self Centered!! And yep…Biden’s 2nd try at it, Will Fail!! But here’s the thing….BIDEN KNEW FROM DAY 1….IT WOULD FAIL!!! But now he gets to get on his stump and say “I tried like Hell for all of you. But that dang Right Wing heavy Supreme Court shot it down, TWICE! It’s Trumps fault because he put more conservative judges there!” End Quote. But…the Stupid Sheep will fall for it, because the Satanic Lefty media will shove it down our throats as well!! I am not sure exactly how the (Election/ Selection) program works?? But I became convinced in 2020, that it’s been a “Selection” program since Reagan, if not earlier. It’s Sad! I served in the army, have always been patriot and about the USA. But once the Holy Spirit showed me what’s going on… I know it’s a “Selection”, along with many other things in this country!! I agree with Jacob: I am 99.999% sure Biden is going to be Selected again! TRUST IN OUR GOD AND STAYING VIGILANT IN STUDY OF THE KJV….and watch GOD WORK HIS PLAN!