Breakingviews - Breakingviews: U.S. student loan plan brings limited relief

Activists demonstrate outside an entrance to the White House calling for the cancellation of student debt in Washington, U.S., April 27, 2022. REUTERS/Evelyn HocksteinNEW YORK, Aug 24 - Americans are getting some student-loan forgiveness, but the plan only deserves a C grade. U.S. President Joe Bidento forgive a fraction of the nearly $1.6 trillion in debt issued by the government to cover higher-education costs.

The relief announced on Wednesday falls short of progressive Democratic goals, but Biden has questioned why only college attendees should be helped with their debt. His programof up to $10,000 in student loans for individuals who earn less than $125,000 a year and twice as much for recipients of a need-based grant.

For two years, student borrowers have benefited from a grace period. A pandemic-relief effort paused repayment requirements and interest hasn’t accrued since March 2020. Biden is also extending these provisions until the end of 2022. The assistance alone has cost taxpayers some $45 billion, according to the U.S. Department of Education.The new package has three main gaps. More than two-thirds of relief goes to the top 60% of earners, per a new University of Pennsylvania.

College tuition and other fees have soared, but they also go a long way. The average four-year U.S. degree, including lodging and food, increased nearly 11% over the decade through the 2020-2021 school year, the

alpgomez

alpgomez Biden's plan does not deserve a 'C' grade: It's more like an 'F'. It's not even a temporary fix and is unfair to taxpayers. No long term view has been taken i.e., what happens next year when students take out loans they will assume will be forgiven once again? It's a bad plan

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Breakingviews - U.S. student loan plan brings limited reliefAmericans are getting some student-loan forgiveness, but the plan only deserves a C grade. U.S. President Joe Biden unveiled an initiative to forgive a fraction of the nearly $1.6 trillion in debt issued by the government to cover higher-education costs. Many borrowers will keep struggling to pay off their balances, leaving many holes in this compromise.
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Student loan forgiveness: Biden unveils plan to cancel $10K in student debtBiden unveiled a plan to provide $10,000 of federal student loan debt relief for borrowers who earn under $125,000 annually, and more for those with the greatest financial need. Even his detractors and haters that have SLs will benefit from this I think this is good 😊 👍
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Biden announces student loan debt relief planU.S. President Joe Biden said on Wednesday his administration would forgive student loan debt for many borrowers and would extend a pause on student loan repayments until Dec. 31 of this year.
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Biden is expected to make announcement on student loan relief on WednesdayIt's not yet clear what he'll announce. The pause on student loan payments is currently scheduled to end on Aug. 31.
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