Spend, Biden spend!
President Biden announced his plan to forgive more than $300 billion dollars in student loan debt on Wednesday, saying it will give working and middle-class families breathing room.
According to Fox News, “[Biden] will cancel $10,000 of federal student loan debt for certain borrowers making less than $125,000 per year, and up to $20,000 for Pell Grant recipients while extending the pause on federal student loan payments through the end of the year.”
“According to a Penn Wharton Budget Model, a one-time maximum debt forgiveness of $10,000 for borrowers who make less than $125,000 will cost around $300 billion for taxpayers.” Fox reports.
“In keeping with my campaign promise, my Administration is announcing a plan to give working and middle-class families breathing room as they prepare to resume federal student loan payments in January 2023,” Biden tweeted.
In keeping with my campaign promise, my Administration is announcing a plan to give working and middle class families breathing room as they prepare to resume federal student loan payments in January 2023.
I'll have more details this afternoon. pic.twitter.com/kuZNqoMe4I
— President Biden (@POTUS) August 24, 2022
“The nation’s federal student debt now tops $1.6 trillion after ballooning for years. More than 43 million Americans have federal student debt, with almost a third owing less than $10,000 and more than half owing less than $20,000, according to the latest federal data,” Fox News reports.
“Earning a college degree or certificate should give every person in America a leg up in securing a bright future. But for too many people, student loan debt has hindered their ability to achieve their dreams—including buying a home, starting a business, or providing for their family,” Education Secretary Miguel Cardona said in a statement Wednesday. “Getting an education should set us free; not strap us down! That’s why, since Day One, the Biden-Harris administration has worked to fix broken federal student aid programs and deliver unprecedented relief to borrowers.”
While Biden & Co. celebrate the loan forgiveness as a win, members of the GOP are sounding the alarm on record-high inflation and $30.7 trillion in national debt.
From Fox News:
“As hardworking Americans struggle with soaring costs and a recession, Biden is giving a handout to the rich,” RNC Chairwoman Ronna McDaniel said. “Biden’s bailout unfairly punishes Americans who saved for college or made a different career choice, and voters see right through this short-sighted, poorly veiled vote-buy.”
And Senate Minority Leader Mitch McConnell slammed the move, saying Democrats have “found yet another way to make inflation even worse, reward far-left activists, and achieve nothing for millions of working American families who can barely tread water.”
“President Biden’s student loan socialism is a slap in the face to every family who sacrificed to save for college, every graduate who paid their debt, and every American who chose a certain career path or volunteered to serve in our Armed Forces in order to avoid taking on debt,” McConnell said. “This policy is astonishingly unfair.”
More over at Fox News:
BREAKING NEWS: Biden announces student loan handout as national debt soars https://t.co/Ydl0qT0H45
— Fox News (@FoxNews) August 24, 2022