blorbo [he/him]Biden Announces Plan to Cancel Some Student Loan Balances Under $12,000
Hopefully this doesn’t extend to people earning over a certain amount. I’m a relatively high income earner. I’d rather see up to 12 grand in relief go to folks who are earning under a threshold. Perhaps that’s literally in the article and if I read it, I would see that with my own eyes. But here we are!
These are people who have been paying on their loans for 10 years. I don’t think there are many people who:
Why? Interest is a bitch. If there are people who meet those three conditions, there probably aren’t many of them.
Honestly, the more I hear about the student loan crisis, the more I’m convinced that, if you’re going to go with the line that outright forgiveness is politically toxic, they should just set the interest rate to 0%. A lot of people are basically just stuck paying interest without even hitting the principal, and that’s the real problem.
This fixes a few issues:
- the longer you’ve had your loan, with inflation it’ll be a smaller part of your income (provided your income raises with inflation, which admittedly isn’t a given in the US)
- the conservative talking point of ‘you borrowed the money, so you need to pay it back’ is completely moot. Yes, you’re paying it back (unlike the business owners that took out PPP loans).
- the goal of those loans should be to fund your education, not for someone to make money off, and that would accomplish this.
Obviously the best solution is free education and universal loan forgiveness, but Democrats aren’t willing to do that.