1y ago

Biden administration announces $39 billion in student debt relief following administrative fixes

www.cnn.com Biden administration announces $39 billion in student debt relief following administrative fixes | CNN Politics

The Biden administration announced Friday that 804,000 borrowers will have their student debt wiped away, totaling $39 billion worth of debt, in the coming weeks due to fixes that more accurately count qualified monthly payments under existing income-driven repayment plans.

U.S. News @beehaw.org

www.cnn.com /2023/07/14/politics/student-loan-relief-biden-administration/index.html

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politics @lemmy.world

Biden administration announces $39 billion in student debt relief following administrative fixes

www.cnn.com /2023/07/14/politics/student-loan-relief-biden-administration/index.html

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60 comments

Thank God the actual fucking backbone of this country (the educated) are finally getting a (tiny by comparison) hand out instead of just corrupt, slimy ass corporations (for once).
- To be perfectly fair like most lower middle class kids are pushed into college by their parents. Rich kids don't have much debt.

Maybe this says something about the state of higher education….

Just got the email about the cancelation to the student loan forgiveness today. Sad days.

Bank paid economists on suicide watch

huh, that's interesting.

still not sure why the executive branch thinks it can make fiscal policy decisions, that's the responsibility of the legislative branch
- If the legislative has delegated the execution of certain fiscal policy to the executive, and given the executive certain bounds within which it can operate on that fiscal policy, then the executive is within its prerogative to do so.
  The legislative branch has been abdicating power to the executive for some time due to its own consistent deadlock. I don't think that's a good thing, but it does mean the executive often ends up with some limited purse string control.
  
  if it has... has it? news to me

he could just wipe it out, but yaknow, he’d rather do what his big donors want. instead he throws a bone just to try to win votes.
- The supreme court blocked Biden's attempt at loan forgiveness two weeks ago
  
  Well, they blocked his weak sauce attempt to forgive some of the debt, with a heavy dose of means testing to not forgive too much.
  Biden has full authority through the 1965 Higher Education Act to wipe out all the student loan debt entirely. He could do that today. Of course he chooses not to / pretends he isn’t aware of this. What do you expect from Biden, who single-handedly brokered the deal in the 90s to make it impossible to declare bankruptcy due to student loan debt?
- I assume you've been living under a rock?... Biden tried to unilaterally wipe out a ton of student loans and it was blocked by a court ruling.
  
  He really could. Move all funding for record up keep to other departments. After a period of time the data would be so broken that lawyers could make the argument that the debt can no longer be serviced since no one knows what is owned.
  Biden is definitely an institutionalist so he would never go about it that way.

I privatized my predatory government loan and am getting no handouts because I made the fiscally responsible decision. Only irresponsible people get relief. How fair is that?
- My grandfather died from polio before the vaccine was created, how fair is that?
  
  Not a fair comparison at all. Polio can’t resurrect the dead and fix its past mistakes. The government can. I paid the predatory rate for years before getting smart about it. It kept me from generating wealth and drove me deeper into debt due to the lack of free cash flow. The government made its money back on my loan and was just profiting off of me for years to come. Not a fair system. When they said the loans would turn on again the first time, I pulled the trigger on a lower interest private loan. The damage was already done though. They owe me a check if everyone else gets money wiped away.
- People who got taken advantage of with no resources to help themselves are getting help, that's a good thing. I'm not getting anything out of it, but someone else is, and my upper lip is stiff. Maybe you should consider that.
  
  Yeah but if it doesn't help me then it's bullshit and is a waste of time. Why is the main focus of government and society not to make my singular life better? It's bullshit.
  /s obviously lol
- "Waah waah, nobody was nice to meeeee, so fuck everyone ELSE, because I'M an adult!"
- predatory government loan
  privatized ... fiscally responsible
  Man, I know things are über fucked in the US, but WTF is this nonsense?
  
  the us is just fucked.
  
  It’s the truth. I went from a nearly 8% interest government loan that was presented to me as a normal thing to do and something that I would be able to afford with a good job to a 3% private loan. I should have done it years earlier, but didn’t really know any better until the government took much more money than the loan was worth. The system is fucked.
  
  People agree to take out loans in order to boost their education level and income later. However, these aren't like a normal loan, where there is a physical asset securing the loan, so to make them work they cannot be discharged via bankruptcy. Some people find this idea predatory. However, it's a core part of what makes them work at all. Otherwise, one could load up on the student loans, get their degree, declare bankruptcy, then go out into the job market with the boosted income and not pay back what they borrowed.
  During periods of very low interest, it can also be fiscally responsible to replace the loans with fixed-rate lower interest ones. During covid, this was pretty popular since interest rates were rock bottom.
- Ah, yes, everyone remember the golden rule: "Got mine, so fuck literally every other human being in a worse situation."
- Did you read the article? This was only for income driven plans on a path to forgiveness. If you had that and refinanced anyway, that’s on you.
- Trust me bro, it's not like we're all over here getting handouts and eating ice cream. 99% of us haven't gotten shit.
  The government bails out companies and banks all the time for their poor fiscal choices and no one even blinks. But if they bail out something not a corporation and roughly middle class looking, then it causes an uproar.
- You made a stupid decision and you're paying for it. What do you want, some free socialism? Would you be here removed if your gambit paid off? If you've got a hard on for the private sector you could have stolen some free tax dollars with a PPP loan like the other Republicans.
- I think privatizing your loans was the irresponsible decision lol. Why in the world would you give up gov loan protections even if the average interest rate is a bit lower
- Being a good little cog in a bad system isn't something you should be congratulating yourself about.
  Debt systems are extractive and produce little net benefit to society, propping them up to expand the suffering because you didnt get sick or hit by a car or whatever is some peanut brained anti-human shit.
- It’s like rain on your wedding day.
- That's not what the plan was though. Last time I checked it would even help those who paid everything off. I'm wondering which news sources you follow to not have noticed that bit.
  Also, having policies that make millions of people suffer, what effect might it have on living conditions of everyone? If a few make a bad decision it is on them, if millions made a bad decision it'll be a problem for society. It could be ignored, but it'll still effect society.
- So you're saying you've already gotten your relief, then?
- I took a very different track with mine. I recognized that federal loans had more options for hard times than private loans and made the fiscally responsible decision to not refinance mine with a private company. So only people who were responsible enough to consider that the government is more likely to protect you than a for-profit money grabbing predatory private loan servicer are getting relief.
- If we halt progress whenever it comes too late to help everyone, we'll never have progress.
- Ask all the people who privatized their ppp “loans.”
  Life isn’t always fair, but relief for other people is still good. I’ve never taken a loan. None of kids did. We all paid out of pocket. I still support this.
- WHAT ABOUT MY LEG!?
- Life isn’t fair.
- People with no risk tolerance crying when risk pays off, the finest of wines to my risk tolerant palate 🤌

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