President Joe Biden, facing poor polling numbers for a Democratic candidate with young voters, announced another student loan bailout program this week ahead of the 2024 presidential election.
His new plan comes after the U.S. Supreme Court blocked his attempt to this last year because it was illegal.
Biden&#8217;s new plan would take taxpayer money to wipe out the student loan debt of over 30 million borrowers, the White House <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2024/04/08/fact-sheet-president-biden-announces-new-plans-that-would-provide-relief-to-borrowers-disproportionately-burdened-by-student-loan-debt/">said</a>. The administration said that the actions were specifically designed to provide relief to black and Latino borrowers who attended community college and who are financially vulnerable because they took out debt but never had the chance to complete their degree.
The plan would provide relief to borrowers who owe more than they did at the start of repayment; borrowers who are otherwise eligible for loan forgiveness, but have not yet applied; borrowers who first entered repayment many years ago; borrowers who enrolled in low-financial-value programs; and borrowers experiencing hardship paying back their loans.
&#8220;Today, too many Americans, especially young people, are saddled with unsustainable debts in exchange for a college degree,&#8221; Biden said from an event in Wisconsin. &#8220;The ability for working and middle class folks to repay their student loans has become so burdensome that a lot can&#8217;t repay it for even decades after being in school.&#8221;
&#8220;Even when they work hard and pay their student loans, their debt increases, not diminishes,&#8221; he said. &#8220;Too many people feel the strain and stress wondering if they can get married, have their first child, start a family because even if they get by, they still have this crushing, crushing debt, and it&#8217;s not just a drag on them.&#8221;
Biden claimed that people couldn&#8217;t buy homes because they had to repay their student loans when most people can&#8217;t afford homes because of high interests that were sparked by the inflation that his American Rescue Plan caused.
&#8220;Tens of millions of people&#8217;s debt was literally about to get canceled, but then some of my Republican friends and elected officials and special interests sued us and the Supreme Court blocked us, but that didn&#8217;t&#8211;well, that didn&#8217;t stop us,&#8221; he said. &#8220;No, I mean it sincerely. We continue to find alternative paths to reduce student debt payment that are not challenging.&#8221;
WATCH:
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President Biden Speaks In Las Vegas On Lowering Costs For Americans

Biden Again Tries To Win Over Young Voters With New Student Loan Bailout

Joe Biden

Student Loan Cancellation

Student Loans

Some student loan borrowers are refusing to make payments in protest, hoping they can force the Biden administration to cancel all student loan debt.
According to an Intelligent.com <a href="https://www.intelligent.com/1-in-10-borrowers-who-havent-resumed-student-loan-payments-are-boycotting/" target="_blank" rel="noopener">survey</a> of 1,000 federal student loan borrowers, about 25% <a href="https://nypost.com/2024/01/17/news/some-student-loan-borrowers-refusing-to-pay-out-of-protest/" target="_blank" rel="noopener">said</a> they had not made any payments, and 9% of those who had not paid at all said they were not paying to pressure the government into canceling their debt.
According to the survey, about 44% of those boycotting their payments said they believe their protest will result in the government canceling at least some federal student loan debt, the survey found.
About 28% said they think the boycott is &#8220;likely&#8221; to succeed in getting the government to cancel all student loan debt. As many as 86% said they think it is &#8220;very&#8221; or &#8220;somewhat likely&#8221; that the boycott will bring attention to the student loan issue.
The pandemic pause on student loan payments expired in October after more than three years.
Close to nine million people missed their first payment, the Department of Education <a href="https://www.dailywire.com/news/nearly-9-million-student-loan-borrowers-missed-first-payment-after-pause#" target="_blank" rel="noopener">said</a> last month. That means about 40% of the 22 million people who had student loan payments due in October still had not made a payment by well into November.
For comparison, less than 26% of borrowers missed their payment in October 2019, before the pandemic pause went into effect in March 2020 in the thick of the COVID pandemic.
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In June, the Supreme Court <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness" target="_blank" rel="noopener">struck down</a> President Biden’s massive $430 billion student debt relief plan that would have forgiven 40 million people’s loans. After the court’s decision, Biden <a href="https://www.foxbusiness.com/economy/biden-administration-forgives-39-billion-student-loan-debt-more-than-800000-borrowers?intcmp=tw_fnc" target="_blank" rel="noopener">said</a> he would “stop at nothing to find other ways to deliver relief to hard-working middle-class families.”
Biden has still managed to forgive up to $116 billion in student loans for more than 3.4 million people, the administration <a href="https://www.dailywire.com/news/biden-administration-forgives-another-72-million-in-loans-for-students-cheated-by-one-school" target="_blank" rel="noopener">said</a> in August.
Leftist lawmakers and activists have long called for broad student debt relief, and for years have urged the Biden administration to grant it. Critics argue that forgiving student loans is unfair to those who sacrificed to pay off their loans, especially since taxpayers ultimately pay for any government-funded debt relief.
About 69% of the borrowers who had not made a payment after the pause ended said they could not afford to do so, the Intelligent.com survey found. About 18% of borrowers who had not started making payments again said they planned to wait until September, which is when the more severe consequences for missing payments kick in.
For the next few months, the Biden administration has an “on-ramp” program to protect borrowers from the “harshest consequences” of missed payments such as delinquency, default, and mandatory collections.

On The Second Anniversary Of The Student Loan Payment Pause Activists Project A Message Celebrating The Pause And Asking Secretary Cardona To Cancel Student Debt

Some Student Loan Borrowers ‘Boycotting’ Payments To Force Government To Cancel Debt

Some Student Loan Borrowers 'Boycotting' Payments To Force Government To Cancel Debt

American Universities

Biden

Biden Administration

College

Education

Students

Close to nine million people missed the first <a href="https://www.dailywire.com/topic/student-loans" target="_blank" rel="noopener">student loan</a> payment they were supposed to make after the pandemic pause ended this fall, the Department of Education said Friday.
That amounts to about 40% of the 22 million people who had student loan payments due in October. The nearly nine million borrowers had not made their payments by well into November.
For comparison, less than 26% of borrowers missed their payment in October 2019, before the pandemic pause went into effect.
The payment pause began in March 2020 in the thick of the COVID pandemic. It ended in October after more than three years.
More than 28 million borrowers are supposed to be resuming payments, the department <a href="https://blog.ed.gov/2023/12/a-first-look-at-student-loan-repayment-after-the-payment-pause/" target="_blank" rel="noopener">said</a> in a release that took a &#8220;first look&#8221; at repayment data after the pause.
&#8220;Some are confused or overwhelmed about their options. We want to make sure borrowers know that our top priority is to support student loan borrowers as they return to repayment,&#8221; the Department of Education said.
For the next year, the Biden administration has an &#8220;on-ramp&#8221; program to protect borrowers from the &#8220;harshest consequences&#8221; of missed payments such as delinquency, default, and mandatory collections.
In June, the Supreme Court <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness" target="_blank" rel="noopener">struck down</a> President Biden’s massive $430 billion student debt relief plan that would have forgiven 40 million people’s loans.
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After the court’s decision, Biden <a href="https://www.foxbusiness.com/economy/biden-administration-forgives-39-billion-student-loan-debt-more-than-800000-borrowers?intcmp=tw_fnc" target="_blank" rel="noopener">said</a> he would “stop at nothing to find other ways to deliver relief to hard-working middle-class families.”
In an email to student loan holders, the administration even <a href="https://www.dailywire.com/news/scotus-got-it-wrong-biden-administration-tells-student-borrowers-in-email" target="_blank" rel="noopener">said</a> the Supreme Court “got it wrong” on student debt.
Biden has still managed to forgive up to $116 billion in student loans for more than 3.4 million people, the administration <a href="https://www.dailywire.com/news/biden-administration-forgives-another-72-million-in-loans-for-students-cheated-by-one-school" target="_blank" rel="noopener">said</a> in August.
Another move the administration has taken is creating the Saving on a Valuable Education (SAVE) plan, which cuts monthly payments to $0 for millions of low-income borrowers.
On Friday, the Education Department said that more than 5.5 million borrowers are already enrolled in the SAVE Plan, including 2.9 million who do not have to make any payments.
Michael Burry, known for being among the first investors to predict the subprime mortgage crisis, called the lower repayment numbers a &#8220;red flag.&#8221;
&#8220;An overlooked warning of economic stress?&#8221; Burry <a href="https://twitter.com/burrytracker/status/1736819502808281105?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1736819502808281105%7Ctwgr%5E102b49834b0dd35b015b7f101a01b8ad21fa47ca%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Fhotair.com%2Ftree-hugging-sister%2F2023%2F12%2F18%2Fbaby-you-can-pay-my-bills-40-of-student-loans-borrowers-miss-that-first-payment-n599953" target="_blank" rel="noopener">posted</a> Monday on X.
Leftist lawmakers and activists have long called for broad student debt relief, and for years have urged the Biden administration to grant it. Critics argue that forgiving student loans is unfair to those who sacrificed to pay off their loans, especially since taxpayers ultimately pay for any government-funded debt relief.

Student Loan Borrowers And Advocates Gather For The People’s Rally To Cancel Student Debt During The Supreme Court Hearings On Student Debt Relief

Nearly 9 Million Student Loan Borrowers Missed First Payment After Pause

U.S.

Over a dozen Congressional Republicans introduced a measure on Tuesday to repeal the <a href="https://www.dailywire.com/topic/biden-administration" target="_blank" rel="noopener">Biden administration&#8217;s</a> latest student loan forgiveness efforts that lawmakers argue would transfer over $500 billion of debt onto taxpayers.
After the U.S. Supreme Court struck down President Joe Biden&#8217;s massive $430 billion student debt relief plan in June, the administration unveiled an income-driven repayment (IDR) plan that allows borrowers to repay their debt based on income and family size rather than the loan balance itself. After ten years of payments, those with less than $12,000 would have the rest forgiven.
&#8220;Once again, Biden&#8217;s newest student loan scheme only shifts the burden from those who chose to take out loans to those who decided not to go to college, paid their way, or already responsibly paid off their loans,&#8221; Sen. Bill Cassidy (R-LA), the ranking Republican member on the Senate Committee for Health, Education, Labor and Pensions (HELP), said in a <a href="https://www.risch.senate.gov/public/index.cfm/pressreleases?ID=E350292B-CFB3-4C2D-B677-FE890BAB35C9" target="_blank" rel="noopener">news release</a>.
Cassidy, along with 16 Republican colleagues in both chambers of Congress, <a href="https://www.help.senate.gov/imo/media/doc/idr_one_pager.pdf" target="_blank" rel="noopener">introduced</a> a Congressional Review Act (CRA) resolution to overturn the &#8220;reckless&#8221; <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2023/08/22/fact-sheet-the-biden-harris-administration-launches-the-save-plan-the-most-affordable-student-loan-repayment-plan-ever-to-lower-monthly-payments-for-millions-of-borrowers/" target="_blank" rel="noopener">Saving on a Valuable Education (SAVE) plan</a> that would relieve the principal amount on primarily bachelor&#8217;s degree student loans — costing taxpayers as much as $559 billion.
The lawmakers said that under the plan, 91% of new student debt would be eligible for reduced 
payments and eventual transfer of $0.50 on every $1 borrowed to taxpayers.
&#8220;Our resolution protects the 87% of Americans who don&#8217;t have student debt and will be forced to shoulder the burden of the President&#8217;s irresponsible and unfair policy,&#8221; he added.
According to the Penn Wharton Budget Model, the IDR rule would disperse billions of dollars annually to community college students expecting to have their debt relieved, which lawmakers said would turn the federal student loan financing system into a &#8220;poorly targeted, taxpayer-funded grant program.&#8221;
Reps. Lisa McClain (R-MI) and Virginia Foxx (R-NC) called the Biden administration&#8217;s student loan plan a &#8220;scam&#8221; and the costliest regulation in U.S. history.
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&#8220;The only difference between President Biden and a snake oil salesman is a title,&#8221; Foxx and McClain said in a <a href="https://edworkforce.house.gov/news/documentsingle.aspx?DocumentID=409498#:~:text=Lisa%20McClain%20(R%2DMI),Education%20(SAVE)%E2%80%9D%20plan." target="_blank" rel="noopener">statement</a>. &#8220;Biden&#8217;s administration knows what it&#8217;s doing is illegal, but it&#8217;s pushing forward anyway, promoting its SAVE scheme as a solution to America&#8217;s broken student loan system. In reality, the SAVE scheme is a desperate effort to curry favor and buy votes ahead of the next election.&#8221;
Congressional Republicans and Democrats reportedly have criticized the president&#8217;s student loan relief efforts. GOP lawmakers said such plans overlook underlying issues that have led to the skyrocketing cost of college and the increasing debt students take on.
It&#8217;s unclear if Majority Leader Sen. Chuck Schumer (D-NY) would bring the CRA to the floor for a vote, considering he <a href="https://www.democrats.senate.gov/newsroom/press-releases/majority-leader-schumer-floor-remarks-on-opposing-republicans-resolution-to-overturn-president-bidens-student-loan-cancellation-program" target="_blank" rel="noopener">opposed</a> Republicans&#8217; &#8220;cruel&#8221; attempt to shut down Biden&#8217;s student loan forgiveness program before the nation&#8217;s highest court overruled it.
The Biden administration has so far forgiven approximately $116 billion to more than 3.4 million people.
After the Supreme Court blocked the president&#8217;s initial student debt relief plan, Biden said he would &#8220;stop at nothing to find other ways to deliver relief to hard-working middle-class families.&#8221;
Last week, officials <a href="https://www.dailywire.com/news/biden-administration-forgives-another-72-million-in-loans-for-students-cheated-by-one-school" target="_blank" rel="noopener">canceled</a> $72 million in student loans for about 2,300 student borrowers who attended Ashford University, an online for-profit school based in San Diego that the University of Arizona has since acquired.

US President Joe Biden Supreme Court’s decision on the Administration’s student debt relief program

GOP Lawmakers Push Back On Latest Biden Admin Student Loan Forgiveness Effort

Congress

The Biden administration canceled another $72 million in student loans this week, saying thousands of students were &#8220;cheated&#8221; by one California school.
About 2,300 student borrowers who attended Ashford University, an online for-profit school based in San Diego that has since been acquired by the University of Arizona, will have their debt wiped away, the Department of Education <a href="https://www.ed.gov/news/press-releases/biden-harris-administration-approves-72-million-borrower-defense-discharges-over-2300-borrowers-who-attended-ashford-university" target="_blank" rel="noopener">announced</a> in a statement on Wednesday.
This latest batch of debt relief comes after the Supreme Court in June <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness" target="_blank" rel="noopener">struck down</a> President Biden’s massive $430 billion student debt relief plan that would have forgiven 40 million people&#8217;s loans.
This week&#8217;s decision brings the Biden administration&#8217;s total student debt forgiven up to $116 billion for more than 3.4 million people, the administration said.
Wednesday&#8217;s $72 million in loan forgiveness is <a href="https://www.washingtonexaminer.com/policy/education/biden-forgives-72-million-more-student-loan-debt" target="_blank" rel="noopener">the result</a> of the Department of Education&#8217;s review of a 2017 lawsuit the California Department of Justice brought against Ashford University. California claimed the school had misled students by lying about tuition costs and employment potential while also using aggressive recruiting methods.
Ashford students had <a href="https://www.businessinsider.com/student-loan-forgiveness-borrower-defense-debt-relief-california-biden-education-2023-8" target="_blank" rel="noopener">filed</a> borrower defense claims alleging they were defrauded by their school. This type of claim can result in loan forgiveness if approved.
A judge ruled at the time that Ashford University made 1.2 million misrepresentations to students between 2009 and 2020 and imposed a civil penalty of $22.3 million. The school is currently appealing the ruling.
The court&#8217;s decision stated that the school “created a high-pressure admissions department whose north star was enrollment numbers” and that “admissions counselors would cross a ‘gray line’ ethically or ‘do things they wouldn’t normally do’ to boost numbers to keep their jobs.”
“As the California Department of Justice proved in court, Ashford relied extensively on high-pressure and deceptive recruiting tactics to lure students,” Under Secretary of Education James Kvaal said in Wednesday&#8217;s statement. “Today we are protecting the students who were cheated by Ashford, and we will also hold the perpetrators accountable, protect taxpayers, and deter future wrongdoing.”
&#8220;What Ashford University did to its students was unconscionable and illegal,&#8221; California Attorney General Rob Bonta said. &#8220;I want to thank the Biden-Harris Administration for changing the lives of thousands of former Ashford students today. They have lived a nightmare for too long.&#8221;
Since the Supreme Court&#8217;s decision forcing Biden to scrap his $430 billion student loan forgiveness plan, the president has looked for other ways to get borrowers relief.
After the court’s decision, Biden <a href="https://www.foxbusiness.com/economy/biden-administration-forgives-39-billion-student-loan-debt-more-than-800000-borrowers?intcmp=tw_fnc" target="_blank" rel="noopener">said</a> he would “stop at nothing to find other ways to deliver relief to hard-working middle-class families.”
In an email to student loan holders, the administration even <a href="https://www.dailywire.com/news/scotus-got-it-wrong-biden-administration-tells-student-borrowers-in-email" target="_blank" rel="noopener">said</a> the Supreme Court “got it wrong” on student debt.
Last month, the administration <a href="https://www.dailywire.com/news/scotus-got-it-wrong-biden-administration-tells-student-borrowers-in-email" target="_blank" rel="noopener">outlined</a> several debt relief actions it said it would take “immediately” instead of Biden&#8217;s nixed plan.
One of the actions is the Saving on a Valuable Education (SAVE) plan, which will cut monthly payments to $0 for millions of low-income borrowers.
Another move is ensuring borrowers are protected from the “worst consequences” of late or partial payments, such as a hit to their credit score when the student loan payment pause ends this fall.

President Biden Speaks During National Small Business Week

Biden Administration Forgives Another $72 Million In Loans For Students ‘Cheated’ By One School

Biden Administration Forgives Another $72 Million In Loans For Students 'Cheated' By One School

Politics

The latest version of President <a href="https://www.dailywire.com/topic/joe-biden" target="_blank" rel="noopener">Joe Biden</a>’s student debt bailout, scaled back after its defeat in the <a href="https://www.dailywire.com/topic/supreme-court" target="_blank" rel="noopener">Supreme Court</a>, is again facing legal challenges.
Biden’s new plan involves forgiving the federal student loans of 800,000 borrowers worth roughly $39 billion. Two think tanks challenged it in a lawsuit filed on Friday, according to <a href="https://www.foxbusiness.com/personal-finance/think-tanks-file-suit-block-biden-administrations-plan-cancel-39b-student-loans" target="_blank" rel="noopener">Fox Business</a>.
New Civil Liberties Alliance filed the legal challenge last week in Michigan on behalf of the Mackinac Center for Public Policy and the Cato Institute. The lawsuit argues that the Department of Education is overstepping its authority with the forgiveness plan and asks the judge to rule it illegal.
The lawsuit is “a desperate attempt from right wing special interests to keep hundreds of thousands of borrowers in debt,” the Education Department said in a statement, according to the <a href="https://www.bostonherald.com/2023/08/06/groups-sue-to-block-bidens-second-try-on-student-loans/" target="_blank" rel="noopener">Associated Press</a>. “We are not going to back down or give an inch when it comes to defending working families.”
Biden’s original student debt forgiveness plan called for relieving up to $20,000 worth of federal debt for an estimated 43 million borrowers. The administration faced a couple of legal challenges, and it was ultimately <a href="https://www.scotusblog.com/2023/06/supreme-court-strikes-down-biden-student-loan-forgiveness-program/" target="_blank" rel="noopener">thwarted</a> after several states argued it would illegally relieve loans that they had agreed to service, costing the states up to tens of millions of dollars every year.
The Supreme Court ruled the plan unconstitutional on June 30, knocking down Biden’s attempt at fulfilling a campaign promise that had always appeared to be in doubt.
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Roughly two weeks later, on July 14, the administration rolled out its next, scaled-back version.
“For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness,” Education Secretary Miguel Cardona said in a <a href="https://www.ed.gov/news/press-releases/biden-harris-administration-provide-804000-borrowers-39-billion-automatic-loan-forgiveness-result-fixes-income-driven-repayment-plans" target="_blank" rel="noopener">statement</a> at the time. “Today, the Biden-Harris Administration is taking another historic step to right these wrongs and announcing $39 billion in debt relief for another 804,000 borrowers. By fixing past administrative failures, we are ensuring everyone gets the forgiveness they deserve, just as we have done for public servants, students who were cheated by their colleges, and borrowers with permanent disabilities, including veterans. This Administration will not stop fighting to level the playing field in higher education.”

Miguel Cardona

Biden’s Latest Student Debt Bailout Plan Faces Legal Challenge From Think Tanks

Debt Forgiveness

Department of Education

Executive

Michigan

Washington D.C.

The Biden administration said the Supreme Court &#8220;got it wrong&#8221; on student debt forgiveness in a recent email to student loan holders.
The Education Department&#8217;s Federal Student Aid office sent a <a href="https://mirror.mail.studentaid.gov/nl/jsp/m.jsp?c=%40t2gxE%2Bfh6iZHBEaBU5w%2FGYoOBPWMjGwsLqqKw%2Bwj7jo%3D" target="_blank" rel="noopener">letter</a> to Americans who still owe student loans, assuring them that the administration would keep fighting to forgive their debt.
&#8220;We believe the Supreme Court got it wrong,&#8221; read the email, which was signed by Education Secretary Miguel Cardona.
&#8220;While we disagree with the Court’s decision, our Administration will not stop fighting to provide debt relief to borrowers. We will use every tool at our disposal to do so,&#8221; Cardona wrote.
The email explained that the Supreme Court&#8217;s decision means the Biden administration cannot move forward with its student debt forgiveness plan.
Last month, the Supreme Court <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness">struck down</a> President Biden&#8217;s $430 billion student debt relief policy that would have forgiven the student debt of about 40 million people. The high court ruled 6-3 that the HEROES Act of 2003 does not give Biden the authority to cancel billions in student loan debt.
After the court’s decision, Biden <a href="https://www.foxbusiness.com/economy/biden-administration-forgives-39-billion-student-loan-debt-more-than-800000-borrowers?intcmp=tw_fnc">said</a> he would “stop at nothing to find other ways to deliver relief to hard-working middle-class families.”
The Education Department had already approved applications for more than 16 million borrowers, the department said.
&#8220;President Biden and I recognize how critical student debt relief would have been for tens of millions of Americans and their families,&#8221; the email said.
The administration outlined three debt relief actions it is taking “immediately” instead of the massive debt forgiveness plan.
First, the administration is working on a long-term plan to forgive student loans using “negotiated rulemaking,” a long process involving the Education Department and a negotiating committee that could take years — and could be interrupted by a new president getting elected.
Second, the administration announced the Saving on a Valuable Education (SAVE) plan, which will cut monthly payments to $0 for millions of low-income borrowers starting later this summer. The cut-off is $32,800 for a single person and $67,500 for a borrower in a family of four. All other borrowers will save at least $1000 a year under the SAVE plan, and the SAVE plan will also stop “runaway interest,” the administration said.
Third, the Education Department will ensure borrowers are protected from the “worst consequences” of late or partial payments, such as a hit to their credit score when the student loan payment pause ends this fall.
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The Biden administration made yet another move on debt forgiveness last week.
The administration <a href="https://www.dailywire.com/news/biden-administration-forgives-39-billion-in-student-debt" target="_blank" rel="noopener">announced</a> it would forgive $39 billion in student debt for about 804,000 borrowers. That debt relief is the result of changes to the student loan system’s income-driven repayment programs. The programs were built to forgive student debt after borrowers have been making payments for at least 20 or 25 years, depending on their loan. However, few borrowers have actually gotten their loans forgiven under that system.
In total, the Biden administration has <a href="https://www.dailywire.com/news/biden-administration-forgives-39-billion-in-student-debt">forgiven</a> more than $116.6 billion in student loans for more than 3.4 million borrowers so far, the Education Department said.
Leftist lawmakers and activists have long called for broad student debt relief and for years have urged the Biden administration to grant it. Critics argue that forgiving student loans is unfair to those who sacrificed to pay off their loans, especially since taxpayers ultimately pay for any government-funded debt relief.

TOPSHOT-US-politics-government-pandemic-Covid-19

SCOTUS ‘Got It Wrong,’ Biden Administration Tells Student Borrowers In Email

SCOTUS 'Got It Wrong,' Biden Administration Tells Student Borrowers In Email

SCOTUS

Supreme Court

The Biden administration on Friday announced it will forgive $39 billion in student debt for about 804,000 borrowers.
The debt relief is the result of changes to the student loan system&#8217;s income-driven repayment programs. The programs were built to forgive student debt after borrowers have been making payments for at least 20 or 25 years, depending on their loan. However, few borrowers have actually gotten their loans forgiven under that system.
&#8220;These fixes are part of the Department’s commitment to address historical failures in the administration of the Federal student loan program,&#8221; the Education Department <a href="https://www.ed.gov/news/press-releases/biden-harris-administration-provide-804000-borrowers-39-billion-automatic-loan-forgiveness-result-fixes-income-driven-repayment-plans#:~:text=In%20total%2C%20the%20Biden%2DHarris,more%20than%203.4%20million%20borrowers." target="_blank" rel="noopener">said</a> Friday in a press release.
Leftist lawmakers and activists have long called for broad student debt relief and have urged the Biden administration for years to grant it.
Critics argue that granting student debt relief is unfair to those who sacrificed to pay off their loans, especially since taxpayers ultimately pay for any government-funded debt relief.
In total, the Biden administration has now forgiven more than $116.6 billion in student loans for more than 3.4 million borrowers, the Education Department said. The Biden administration was generous in their interpretation of who is eligible for the student debt relief under the new changes and counted certain people who paused their payments as well as some who had made partial or late payments.
The Education Department&#8217;s plan to make changes to the system in order to forgive certain people&#8217;s student debt was <a href="https://www.politico.com/news/2023/07/14/biden-administration-student-debt-relief-00106366" target="_blank" rel="noopener">announced</a> in April of last year. The department plans to notify people soon whether they are eligible to have their loans forgiven under the changes.
“For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness,” Education Secretary Miguel Cardona said in a statement.
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“By fixing past administrative failures, we are ensuring everyone gets the forgiveness they deserve, just as we have done for public servants, students who were cheated by their colleges, and borrowers with permanent disabilities, including veterans. This Administration will not stop fighting to level the playing field in higher education,” Cardona said.
The move comes just weeks after the Supreme Court struck down Biden&#8217;s $430 billion student debt relief plan, which would have forgiven the student debt of about 37 million people. The high court voted 6-3 that the COVID-era HEROES Act does not give Biden the authority to cancel billions in student loan debt.
“Six States sued, arguing that the HEROES Act does not authorize the loan cancellation plan. We agree,” Chief Justice John Roberts <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness" target="_blank" rel="noopener">wrote</a> for the majority.
After the court&#8217;s decision, Biden <a href="https://www.foxbusiness.com/economy/biden-administration-forgives-39-billion-student-loan-debt-more-than-800000-borrowers?intcmp=tw_fnc" target="_blank" rel="noopener">said</a> he will &#8220;stop at nothing to find other ways to deliver relief to hard-working middle-class families.&#8221;
The student debt relief announced Friday is separate from Biden&#8217;s debt relief plan that was struck down by the court.
Vice President Kamala Harris said Friday in a statement that she and Biden &#8220;will not stop there.&#8221;
&#8220;Our administration will continue to fight to make sure Americans can access high-quality postsecondary education without taking on the burden of unmanageable student loan debt,&#8221; Harris <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2023/07/14/statement-from-vice-president-kamala-harris-on-additional-student-loan-forgiveness/" target="_blank" rel="noopener">said</a>.

Student Loan Borrowers Gather To Tell President Biden To Cancel Student Debt

Biden Administration Forgives $39 Billion In Student Debt

Roughly a third of Americans with student loans spent money they would not have normally spent because they were “confident” it would be forgiven under President Joe Biden, according to a <a href="https://www.intelligent.com/1-in-3-federal-student-loan-borrowers-spent-money-they-thought-they-wouldnt-have-to-pay-back/" target="_blank" rel="noopener">new poll</a>. 
The poll by Intelligent.com surveyed 977 people who would have qualified for at least $10,000 of debt relief under Biden’s student loan forgiveness plan, which was struck down by the Supreme Court last month. Of those, one in three said they spent “extra money” because they were assuming forgiveness, with many spending that money on things like vacations, retail items, and even alcohol, drugs, and gambling. 
“The Supreme Court decision is a cold shower for those who had their hopes pinned on a $10,000 relief,” James Allen, who founded personal finance website Bullpin.com, told Intelligent. “It’s like waiting for a tax refund only to find out the IRS made a mistake.” 
The poll found that of the borrowers who spent extra with the hope of the debt being wiped clean, 31% spent between $2,501-5,000, 27% spent between $1,000-2,500, 17% spent between $5,001-$7,500, 9% spent between $7,501-$10,000, and 5% spent more than $10,000. Just 11% spent less than $1,000, according to the poll. 
As for what they were spending that money on, the poll found that most respondents who said they spent extra cash did so on retail items, at 44%. The second most common expense was paying off other debts, which 37% of respondents said they did. Other expenses include home and auto payments, childcare, and down payments on vehicles and homes. 
About 20% of respondents said they spent that “extra money” on vacations, the poll found, while 8% used it for alcohol or drugs, and 7% used it for gambling. 
Over half of borrowers now say they don’t feel prepared once student loan repayment starts back up in October, with 35% saying they’re “very unprepared” and 23% saying they’re “somewhat unprepared.” Over a quarter of respondents also claimed they might “refuse to pay” the $10,000 that would have been forgiven under the president’s plan. 
Late last month, the Supreme Court <a href="https://www.dailywire.com/news/supreme-court-delivers-defeat-to-biden-admin-on-student-loan-forgiveness" target="_blank" rel="noopener">struck down</a> Biden’s loan forgiveness plan in a 6-3 decision, saying, “The Secretary asserts that the HEROES Act grants him the authority to cancel $430 billion of student loan principal. It does not. We hold today that the Act allows the Secretary to ‘waive or modify’ existing statutory or regulatory provisions applicable to financial assistance programs under the Education Act, not to rewrite that statute from the ground up.”
According to a White House <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2023/01/27/fact-sheet-biden-harris-administration-releases-new-data-showing-26-million-people-in-all-50-states-applied-or-were-automatically-eligible-for-one-time-student-debt-relief/#:~:text=In%20the%20less%20than%20four,be%20deemed%20eligible%20for%20relief." target="_blank" rel="noopener">fact sheet</a> from August, 26 million Americans had applied or were eligible automatically for the debt relief, which applied to people who make less than $125,000 or couples who make less than $250,000. Up to $20,000 would have been forgiven for Americans who received Pell Grants. The Congressional Budget Office <a href="https://www.politico.com/news/2022/09/26/biden-student-debt-relief-00058923#:~:text=The%20CBO%20analysis%20examined%20how,would%20be%20about%20%24400%20billion." target="_blank" rel="noopener">estimated</a> the plan had a price tag of roughly $400 billion.

President Biden

A Third Of Student Debt Holders Spent ‘Extra Money’ They Thought Would Be Wiped Clean: Poll

Former New Hampshire Republican Governor Judd Gregg slammed President Joe Biden this week for allegedly trying to &#8220;buy votes&#8221; through his student loan bailout program.
The U.S. Supreme Court ruled 6-3 last week that Biden&#8217;s attempt to use the HEROES Act to unilaterally forgive federally subsidized student loans was illegal.
Gregg responded to the ruling during an interview on CNBC&#8217;s &#8220;Squawk Box&#8221; on Monday, calling Biden&#8217;s plan &#8220;the biggest vote-buying scheme ever received or undertaken by a presidency, is all it was.&#8221;
&#8220;Forty million people get 20,000 bucks,&#8221; he said. &#8220;I’ll vote for you to give me 20,000 bucks. And that’s what it is about. That&#8217;s what it&#8217;s still about. That’s why they’re trying to reform it so they can keep this idea that they’re going to give this huge tax break, this income to all these folks going into the next election.&#8221;
&#8220;If the Congress wants to give away $20,000 per person to 40 million people and put the rest of the country at risk and increase the debt, and they have the right to do that,&#8221; he later added. &#8220;But you can’t do it from the executive branch because the executive branch doesn’t have that right under a constitution. And this is just power politics trying to buy votes. It’s that simple. It ought to be called out for what it was.&#8221;
WATCH:
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">
&quot;It was the biggest vote buying scheme ever undertaken by a presidency. This was an attempt to spend almost $500B and add it to the debt,&quot; says Fmr. Sen. Judd Gregg on President Biden&#39;s student debt relief plan. &quot;They clearly violated Article 1 of the Constitution.&quot; <a href="https://t.co/UI24ggm55C">pic.twitter.com/UI24ggm55C</a>
&mdash; Squawk Box (@SquawkCNBC) <a href="https://twitter.com/SquawkCNBC/status/1675822629633261570?ref_src=twsrc%5Etfw">July 3, 2023</a></blockquote>
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Chief Justice John Roberts <a href="https://www.supremecourt.gov/opinions/22pdf/22-506_nmip.pdf">wrote</a> for the 6-3 majority: “The Secretary asserts that the HEROES Act grants him the authority to cancel $430 billion of student loan principal. It does not. We hold today that the Act allows the Secretary to ‘waive or modify’ existing statutory or regulatory provisions applicable to financial assistance programs under the Education Act, not to rewrite that statute from the ground up.”
The decision was made along ideological lines, as Chief Justice Roberts was joined in the majority by Justices Samuel Alito, Neil Gorsuch, Amy Coney Barret, Brett Kavanaugh, and Clarence Thomas.
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The first case was decided unanimously, with all justices ruling in Department of Education v. Brown that the two petitioners who were denied debt relief under the program did not have standing to sue the Department of Education. The second case, Biden v. Nebraska, upheld the right of the several GOP states involved in the lawsuit to sue the Biden administration, clearing the hurdle necessary to present their argument before the court. Roberts bluntly contended in the majority opinion, “Six States sued, arguing that the HEROES Act does not authorize the loan cancellation plan. We agree.”
Nathan Gay contributed to this report.

US President Joe Biden

Ex-GOP Governor Blasts Biden’s Student Loan Bailout As ‘Biggest Vote-Buying Scheme Ever Undertaken’

Ex-GOP Governor Blasts Biden's Student Loan Bailout As ‘Vote-Buying Scheme’

Former Democratic New York state Sen. Alessandra Biaggi was mocked online late this week after complaining about having to pay off her student loans in the wake of the U.S. Supreme Court&#8217;s ruling against President Joe Biden&#8217;s student loan cancellation program.
&#8220;In 2012, I graduated from Fordham Law School with $180,000 is [sic] student loan debt,&#8221; Biaggi tweeted. &#8220;I’ve been paying loans for 11 years. Even paid two of them off completely. In 2023, my balance is $206,000.&#8221;
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In 2012, I graduated from Fordham Law School with $180,000 is student loan debt. 
I’ve been paying loans for 11 years. Even paid two of them off completely. 
In 2023, my balance is $206,000.
&mdash; Alessandra Biaggi (@Biaggi4NY) <a href="https://twitter.com/Biaggi4NY/status/1674797787563847680?ref_src=twsrc%5Etfw">June 30, 2023</a></blockquote>
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Some social media users pointed out a New York Post <a href="https://nypost.com/2022/08/20/alessandra-biaggi-relocates-to-new-district-in-posh-home/" target="_blank" rel="noopener">article</a> from last year that said that the far-left Biaggi &#8220;moved into a stately $1,137,500 estate in leafy Bedford, NY&#8221; in a &#8220;ritzy suburban enclave.&#8221;
&#8220;This far-left ex-NY state senator &amp; spouse bought a $1.13 Million home in a posh NYC ‘burb last year,&#8221; Fox News contributor Dagen McDowell <a href="https://twitter.com/dagenmcdowell/status/1675078580643004416" target="_blank" rel="noopener">tweeted</a>. &#8220;The 20% down payment for a mortgage of that size would have more than paid off this student loan debt. Wails for home loan bailouts imminent.&#8221;
Psychology professor Geoffrey Miller responded, &#8220;And we taxpayers should bail you out&#8230; why, exactly?&#8221;
Conservative writer Christopher F. Rufo <a href="https://twitter.com/realchrisrufo/status/1674834108806217729" target="_blank" rel="noopener">wrote</a>: &#8220;You need Dave Ramsey, not Joe Biden.&#8221;
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&#8220;You could probably rent out the carriage house on your $1M estate or let go of some of your Mexican cleaning ladies to pay it off faster,&#8221; Babylon Bee Managing Editor Joel Berry <a href="https://twitter.com/JoelWBerry/status/1674963594524360705" target="_blank" rel="noopener">tweeted</a>.
Tristan Tate, the brother of Andrew Tate, responded: &#8220;The man in work boots didn&#8217;t go to Law School. He doesn&#8217;t have a high lawyer&#8217;s salary, he makes significantly less money than you do. He pays his taxes and it isn&#8217;t HIS job to pay for the tools you&#8217;ve used to live your upper class lifestyle. Pay for your own education.&#8221;
Former UFC/MMA fighter Jake Shields tweeted: &#8220;It&#8217;s not my responsibility to pay off Harvard graduate&#8217;s student loans. If you couldn&#8217;t afford it you could have gone to a different school.&#8221;

The Fashion Act Rally in NYC

Former NY Democrat State Senator Mocked Over Student Loan Tweet: ‘You Need Dave Ramsey, Not Joe Biden’

Courts

New York

President <a href="https://www.dailywire.com/topic/joe-biden" target="_blank" rel="noopener">Joe Biden</a> raged at the U.S. Supreme Court on Friday over its ruling that his plan to bail out student loan borrowers was unlawful.
The U.S. Supreme Court ruled 6-3 that the HEROES Act did not give the White House authority to unilaterally forgive federally subsidized student loans.
&#8220;This program was all set to begin. The website had been set up,&#8221; Biden said. &#8220;The applications had been simplified so that it took less than five minutes to complete. Notices had been sent out to people about the relief they were eligible for. Sixteen million people — sixteen million people had already been approved. The money was literally about to go out the door.&#8221;
&#8220;And then, Republican elected officials and special interests stepped in. They said no — &#8216;no&#8217; — literally snatching from the hands of millions of Americans thousands of dollars in student debt relief that was about to change their lives,&#8221; Biden claimed. &#8220;You know, these Republican officials just couldn’t bear the thought of providing relief for working-class and middle-class Americans. Republican state officials sued my administration, attempting to block relief, including for millions of their own constituents.&#8221;
WATCH:
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">
Joe Biden blames Republicans for “snatching” Joe Biden’s student loan bailout from college graduates: <a href="https://t.co/Uxo8XjfNpw">pic.twitter.com/Uxo8XjfNpw</a>
&mdash; Conservative War Machine (@WarMachineRR) <a href="https://twitter.com/WarMachineRR/status/1674872885716951040?ref_src=twsrc%5Etfw">June 30, 2023</a></blockquote>
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Biden was asked be a reporter if he overstepped his authority after the Supreme Court ruled that he did.
&#8220;I think the Court misinterpreted the Constitution,&#8221; Biden claimed.
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WATCH:
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“Did you overstep your authority?”
Joe Biden: “I think the court misinterpreted the Constitution.” <a href="https://t.co/P5QWo48cye">pic.twitter.com/P5QWo48cye</a>
&mdash; Conservative War Machine (@WarMachineRR) <a href="https://twitter.com/WarMachineRR/status/1674874834960957450?ref_src=twsrc%5Etfw">June 30, 2023</a></blockquote>
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Biden was also asked why he gave &#8220;millions of borrowers false hope.&#8221;
&#8220;You’ve doubted your own authority here in the past,&#8221; the reporter added.
&#8220;I didn’t give any false hope,&#8221; he claimed. &#8220;The question was whether or not I would do even more than was requested. What I did, I thought was appropriate and was able to be done and would get done. I didn’t give borrowers false hope.&#8221;
&#8220;But the Republicans snatched away the hope that it was — they were given,&#8221; he claimed. &#8220;And it’s real — real hope.&#8221;
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">
“Why did you give millions of borrowers false hope? You doubted your own authority here in the past.”
Joe Biden: “I didn&#39;t give any false hope!&quot; <a href="https://t.co/gHEDmlAFoH">pic.twitter.com/gHEDmlAFoH</a>
&mdash; Conservative War Machine (@WarMachineRR) <a href="https://twitter.com/WarMachineRR/status/1674875643303960579?ref_src=twsrc%5Etfw">June 30, 2023</a></blockquote>
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US-POLITICS-EDUCATION-JUSTICE-BIDEN

Biden Explodes Over SCOTUS Ruling On Student Loans: ‘The Court Misinterpreted Constitution’

Biden Explodes Over SCOTUS Ruling On Student Loans: 'The Court Misinterpreted Constitution'

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