Biden cancels $10,000 in federal student loan debt for most borrowers

[gdale6]

President Joe Biden announced he will forgive $10,000 in federal student debt for most borrowers, delivering financial relief to millions of Americans.

https://www.cnbc.com/2022/08/24/biden-expected-to-cancel-10000-in-federal-student-loan-debt-for-most...

[pizzadude]

Also importantly, the student loan payment pause is continuing through the end of 2022:

The President will also extend the payment pause on most federal student loans "one final time" through Dec. 31, 2022

[Bill77]

It makes zero sense that you can discharge credit card debt in bankruptcy but not student loans.

[CreditCuriosity]

Just so I and others tax payers can pay for their debt, not mine.  Wonderful idea right....  This isn't charity.   Nothing is "FREE".  Also really helps out with inflation as well. /end sarcasm

[JL276]

Really happy for everyone this helps out! You can't always pick who your tax dollars help. This is no different than paying taxes for roads i'll never drive on, playgrounds I don't play on, social welfare programs i'm not in, etc. This is part of being 'merican lol. So I say hip hip hooray! 

[CreditCuriosity]

Just also saws news this "free" forgiveness is going to cost each tax payer $2000.  This came from the CBO (Congressional budget office) office.  I guess approx 56%(us households)  pays no federal income tax though, source CNBC.   

I think what bugs me most about this other than mentioned in my previous reply and this one is it does nothing to stop the problem.  Whether the problem of universities charging to much or people going to school for useless degrees that will never be able to pay said loan back.  They need to address the cause rather than put a band-aid on it temporarily and encourage colleges to likely keep up with their bad behavior

[Veronik2019]

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@Bill77 wrote:

It makes zero sense that you can discharge credit card debt in bankruptcy but not student loans.

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Because the money for student loans are owed to the goverment. And they are not willing to lower education costs let alone provide free education.

[iced]

It bothers me that yet again it's being based on income and not wealth. I know more than a few young adults with 7-8 figure net worths who will be off to college soon and can take out a student loan for $10,000, finish college, and drop their annual income under $125,000 for a year afterward to get a free $10,000. Even after paying the interest, they'll come out 4 figures ahead.

This will be abused by the wealthy, despite what the administration thinks.

[CreditCuriosity]

It will make it way to supreme court likely as doubt he can do this by executive order, but that is what the supreme court will be deciding if they hear the case which I suspect they will.  I question whether he can do this with out the house as they control the check book hence likely to supreme court.  

[D10001]

Problem is nobody will have standing to sue (i.e., demonstrate concrete and particularized injury).