President Biden signaled to House Democrats this week that he is seriously considering taking action to forgive student-loan debt on a large scale
for borrowers with federal student loans since March 13, 2020, at the start of the Covid-19 pandemic. The U.S. has extended the pause on payments several times amid pressure from prominent Democrats to offer relief to the public.
Mr. Biden has previously expressed skepticism about issuing blanket student-loan forgiveness, arguing that people who attend expensive private schools and graduate programs shouldn’t receive the same amount of relief as students who attend public universities. As a candidate, Mr.
Such proposals wouldn’t do anything to help future borrowers, and some of Mr. Biden’s advisers have privately expressed concern that across-the-board student-debt forgiveness could benefit middle-to-upper-class professionals with advanced degrees, who tend to have large amounts of student debt. Those advisers have argued for a more tailored approach that would limit debt forgiveness to lower-income borrowers, according to people with knowledge of the administration’s deliberations.
CBS News and the Washington Post reported earlier about Mr. Biden’s remarks at the closed-door meeting.toward large-scale debt forgiveness by making it easier for millions of lower-income borrowers to qualify for debt cancellation through income-based repayment plans. Those plans allow borrowers to pay off loans at a set percentage of their income for 20 or 25 years and have the rest of the balance forgiven. The Education Department plans to move roughly 3.
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