New $50,000 student loan forgiveness plan would make 36 million people debt-free

[mystery-ak]

New $50,000 student loan forgiveness plan would make 36 million people debt-free

“We are not going to let up until we accomplish it,” Schumer said Thursday.
By
Joseph Guzman | Feb. 4, 2021



Story at a glance

    Top Democrats are pressuring President Biden to take executive action to cancel $50,000 in student loan debt for individual borrowers.
    The White House indicated it would be willing to consider doing so unilaterally, although Biden has maintained his preference would be for Congress to pass legislation.
    Those who stand to benefit most from the Democrat’s proposal include Black and Latino Americans who have historically lacked access to higher education.

Top Democrats are urging President Biden to use his executive authority to cancel up to $50,000 in student loan debt for federal student loan borrowers.

On Thursday, a group of Democratic lawmakers led by Senate Majority Leader Chuck Schumer (N.Y.) and Sen. Elizabeth Warren (Mass.) reintroduced a nonbinding resolution calling on Biden to forgive all of the debt for 80 percent of federal student loan borrowers; about 36 million people in the U.S. The federal government holds $1.6 trillion in student loan debt that is owed by more than 43 million people.

more
https://thehill.com/changing-america/respect/accessibility/537447-new-50000-student-loan-forgiveness-plan-would-make-36

[Sled Dog]

Either we won't be able to trust the GOP Senate to block this crap, or the Rodents will nuke the filibuster and force it to happen.

Hmmmm....$50k x 20 million parasitic college grads = a terabuck.

How much money will it cost to replace the bearings on the printing presses at the Treasury?

[roamer_1]

How much money will it cost to replace the bearings on the printing presses at the Treasury?

At the rate they're spinning... The presses themselves are likely to need replacing......

[The_Reader_David]

A plan both fiscal conservatives and Old Leftists can hate. 

This is surely the most regressive proposal to come from what calls itself the left these days.  No benefit at all to the traditional working class who learned a trade, or took out a loan to buy a big-rig truck.  Relieve the debts of people who got credentials, if not for lucrative jobs like medicine, law, or engineering, at least for white-collar jobs.

I'm starting to miss the Old Left.

[verga]

I had $17K in student loans. The wife and i tightened our belts made more than the minimum payments, while still in school and in less than 10 years whittled it down to just around $1,700.
A woman I worked with up north put everything on student loans, over $100K. Then she was amazed when her monthly payment was more than her rent. All I heard for 3 days, was how unfair it was. I reminded her that no one held a gun to her head.

[mountaineer]

I had to borrow $6K for law school many years ago. Can't recall whether the interest rate was 3 or 6 percent. In any event, when I saw how slowly my monthly payments would whittle away at the total principal + interest debt, I paid the whole thing off early. Yes, it meant having nothing in the refrigerator for quite a while but eggs and a chunk of cheese, for the most part, but at least I wasn't in debt any longer than necessary.

So I skipped the luxuries to live debt-free, only to have the government require me to pay off everyone else's bills. 

[skeeter]

Saddling 340 million others with the debt of 36 million so those 36 million can be 'debt free'.

Whatta plan.

I paid for both of my degrees out of my own pocket.

[GtHawk]

Saddling 340 million others with the debt of 36 million so those 36 million can be 'debt free'.

Whatta plan.

I paid for both of my degrees out of my own pocket.

What about all the people that made a stupid car purchase, shouldn't they be able to live debt free? What about home mortgages, shouldn't those people have 50K forgiven? What about all the people that lived responsibly paid off their student loans and mortgages, shouldn't they get a 50K gift? Where does it end and as pointed out already why should the rest of American taxpayers be responsible for the student loans of others? One more BS plan of democrats which is nothing more than a vote buying scheme and more sowing of division among Americans.

[roamer_1]

What about all the people that made a stupid car purchase, shouldn't they be able to live debt free? What about home mortgages, shouldn't those people have 50K forgiven?

Actually they can. Through the pain of bankruptcy.

[GtHawk]

Actually they can. Through the pain of bankruptcy.

Yeah pain is right  and those who do end up paying for it one way or another anyway. So then allow the student loans to be admissible in bankruptcy court and let's see how many well off welchers get away with it.  I would rather people have to take some responsibility and suffer consequences for their actions rather than a get out of debt free card for making stupid choices. I don't think those, and there are many, that used their loans for partying, vacations and electronics should be allowed to walk away courtesy responsible people.

[catfish1957]

So all of us folks who sent our kids to college, and graduated on our dime get screwed. 

[bigheadfred]

So all of us folks who sent our kids to college, and graduated on our dime get screwed.

Doing the right thing isn't getting screwed.

[catfish1957]

Doing the right thing isn't getting screwed.

And paying for others via my tax dollars isn't?  I paid for mine and theirs too.

[bigheadfred]

And paying for others via my tax dollars isn't?  I paid for mine and theirs too.

What I am saying is do want to take credit (be a leftist) for this kind of shit or have done the right thing?

[roamer_1]

Yeah pain is right  and those who do end up paying for it one way or another anyway. So then allow the student loans to be admissible in bankruptcy court and let's see how many well off welchers get away with it.  I would rather people have to take some responsibility and suffer consequences for their actions rather than a get out of debt free card for making stupid choices. I don't think those, and there are many, that used their loans for partying, vacations and electronics should be allowed to walk away courtesy responsible people.

Well. one nice thing in all that - You'd see bullcrap degrees go away if the colleges actually had to take the hit... Which is what would happen if the graduate went bankrupt. If enough bachelor degrees in Lesbian Dance Study wound up in bankruptcy, soon enough they'd have to quit offering em.

That puts some accountability on the college if the college gets to take the ride.

That said, we are not far off. I would rather there were consequences for bad choices too. And bankruptcy IS a consequence. A very painful one... But one that can offer recovery beyond it. Far better than the college taking a rake off the graduate for ever and ever.

[Smokin Joe]

Yeah pain is right  and those who do end up paying for it one way or another anyway. So then allow the student loans to be admissible in bankruptcy court and let's see how many well off welchers get away with it.  I would rather people have to take some responsibility and suffer consequences for their actions rather than a get out of debt free card for making stupid choices. I don't think those, and there are many, that used their loans for partying, vacations and electronics should be allowed to walk away courtesy responsible people.

Pain is a great teacher. Removing that pain means that most people will not learn anything. It means the creditors will cash in, on our dime while we end up subsidizing degrees in submarine transgender tiddlywinks. I have done with less, rather than have a debt load, and it has been that way all my life. I never had a new car, but had older vehicles I could repair, didn't buy a McMansion, but a house I knew I could afford, etc. I have generally remained debt free as a result. I chose a field which I love, was (and still am) good at, and which had income potential beyond the cost of a degree. I worked summers and holidays and while in school.I did not live extravagantly, then or now. In short fiscal responsibility ruled the day, and was critical.
I know I am not alone, and even in this generation there are people who are responsible, so why should any of us have to pay for those who borrowed money they do not want to pay back? Why should we cover the costs of loaning money to people who might not have been good risks?--which incidentally, inflated the costs of a post-secondary education for all, whether they borrowed money or not.