Current Events > White House expands plans to cancel student debt

(+) Yeah! (+)

https://www.politico.com/news/2024/02/15/white-house-expands-plans-to-cancel-student-debt-00141652

The White House on Thursday unveiled a significant expansion of its plans to cancel student debt as President Joe Biden looks to run on the issue during this years election.

The draft proposal released by the Biden administration would empower the Education Department to discharge the student loans owed by borrowers who are experiencing financial hardship and unlikely to be able to repay their debts.

The department proposed a one-time debt relief program that would automatically cancel debt in circumstances where its data suggests that borrowers are at least 80 percent likely to default on their debt within the next two years. The proposal also contemplates applications from individual borrowers experiencing a hardship.

It outlines more than a dozen factors that the administration will use to determine financial hardship, such as household income, total debt balance, history of loan repayment and receipt of a Pell grant. The proposal did not define specific thresholds for those factors.

Well leave no stone unturned in the fight to fix a broken student loan system, Education Secretary Miguel Cardona said while unveiling the plan.

The proposal will be debated during a public hearing next Thursday and Friday of a federal rulemaking panel. The Education Department has previously said it plans to officially release the plans for public comment in May.

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The draft plan says that in cases where borrowers are experiencing hardship and unlikely to repay their loans the costs of enforcing the full amount of the debt are not justified by the expected benefits of continued collection of the entire debt.

Bump

I think this is a welcome initiative if it actually goes through (and isn't struck down like the other attempts).

I just hate how in politics you have to wait for election years for any legislation/action of consequence to happen.

millenials: "bUt wHy BiDeN nO cAnCeL sTuDeNt LoAn"

Help the people that are in the most need? Absurd! Never!

Define financial hardship. If it doesnt include me, fuck this plan

EndOfDiscOne posted...

Define financial hardship. If it doesnt include me, fuck this plan

"The department proposed a one-time debt relief program that would automatically cancel debt in circumstances where its data suggests that borrowers are at least 80 percent likely to default on their debt within the next two years. "

Are you facing this issue?

Zanzenburger posted...

I just hate how in politics you have to wait for election years for any legislation/action of consequence to happen.

I mean, they've been trying to do it since the beginning of Biden's term. It's just they are having to fall back on this because republicans are shit fucks and blocked the previous attempts.

Zanzenburger posted...

I just hate how in politics you have to wait for election years for any legislation/action of consequence to happen.

I think it has more to do with the fact if you don't have big majorities in both houses and control of the white house you ain't getting much done

Through the PSLF program, I got $72k cancelled this month.

Scardude posted...

"The department proposed a one-time debt relief program that would automatically cancel debt in circumstances where its data suggests that borrowers are at least 80 percent likely to default on their debt within the next two years. "

Are you facing this issue?

Given that person's attitude, I'm gonna say 10000% nope.

EndOfDiscOne posted...

Define financial hardship. If it doesnt include me, fuck this plan

I know it wont include me but Im still for it.

1NfamousACE_2 posted...

Through the PSLF program, I got $72k cancelled this month.

That's awesome man

1NfamousACE_2 posted...

Through the PSLF program, I got $72k cancelled this month.

Damn, that's great. Must feel good to have that weight off your shoulders. I'm happy for you and hope this plan goes through so more people can have that sense of relief.

emblem-man posted...

That's awesome man

Bass posted...

Damn, that's great. Must feel good to have that weight off your shoulders. I'm happy for you and hope this plan goes through so more people can have that sense of relief.

thank you guys. Youre right, it definitely is the biggest weight off my shoulders. I didnt expect it because they didnt allow me to do the application since I was in forced forbearance. I check my account and saw all 0.00s lol and I called just to make sure

Mine was cancelled through PSLF too, 37k. I thought I had a few more years to go so I was surprised.

Bump!

EndOfDiscOne posted...

Define financial hardship. If it doesnt include me, fuck this plan

"Nothing good should ever happen to anybody unless I'm included"

People like you really do say no progress is better than progress for some and are a major reason this country is laughably behind every other Western democracy in rights and quality of life.