150,000 more student loan borrowers to receive debt relief beginning Wednesday
150,000 more student loan borrowers to receive debt relief beginning Wednesday
The impacted borrowers are people enrolled in the SAVE Plan.
The impacted borrowers are people enrolled in the SAVE Plan.
The Biden administration will begin automatically relieving student debt for another 153,000 people on Wednesday, bringing the total number of Americans approved for debt relief to nearly 3.9 million.
President Joe Biden will tout the new debt relief in a speech from Los Angeles, and thousands of people will receive an email from the president informing them that they now qualify for relief.
"Congratulations — all or a portion of your federal student loans will be forgiven because you qualify for early loan forgiveness under my Administration's SAVE Plan," the email from the president will read.
The people receiving debt relief beginning Wednesday are those who enrolled in the newest student loan payment plan, called the SAVE Plan, which the Department of Education calls the most affordable plan for the majority of borrowers.
Anyone enrolled in the SAVE Plan who took out less than $12,000 in initial loans and has been paying them down for the past 10 years or more will have them forgiven.
Anyone enrolled in the SAVE Plan who took out less than $12,000 in initial loans and has been paying them down for the past 10 years or more will have them forgiven.
It always pisses me off when I see qualifications like this. You know who needs forgiveness? People who got suckered into a lot of fucking debt. You know who needs forgiveness? People who have missed a lot of fucking payments.
Qualifications like this seem designed to make sure relief goes directly to those who need it least every time.
The More sweeping forgiveness attempt was blocked.
He seems pretty committed to forgiving whatever he can get through. It wouldn't be unusual to give up after the initial attempt was blocked, but now he seems to be breaking it apart into more manageable chunks. I'm still slightly hopeful that more forgiveness is coming for those who need it.
He seems pretty committed to forgiving whatever he can get through
The record really doesn't support that. He could have kept pursuing the sweeping relief under different rationales while also doing these small-scale things, and he could have done more to make sweeping relief more difficult to challenge in court by implementing it closer to when it was announced. The fact that there have been no efforts in that direction makes it seem a lot more likely they're just trying to get as many headlines out of this issue for themselves as they can and don't care who does and doesn't get help at the end of the day.
e; almost goes without saying, but I probably should add that this is still way better than anything we'd see out of any Republican administration
The Biden admin tried a different approach that included more borrowers, but the Trump SCOTUS and Republicans are doing everything in their power to derail that. They succeeded so far.
I mean....maybe I am misunderstansing something... but if they have a small loan of 12k....and in 10 years they haven't been able to repay it yet... to me it seems like they needed help....
It's simply more cost effective this way. He gets more people out of debt for the same value of money.
In other words form an illusion he’s helping without actually having to help.
Yes technically he’s helping but he’s helping the people that need help the least. It’s like handing out stimulus checks to people who are already cash rich.
In the end it’s just a big publicity stunt to secure votes. This isn’t what real help looks like.
Looking forward to seeing people bitching about how they didn't get any relief (THANKS, BIDEN!) rather than being happy for those who did.
(I'm not nit-picking you, just building off what you said)
I was eligible for the original forgiveness plan that got cock-blocked, and I was rightfully angry after having that dream smashed. The difference between me and "someone I know IRL who I will not name" is that I'm well aware of where to place the correct blame (hint: not Biden).
Thus far, I have slipped through the additional forgiveness cracks. Am I salty about that? Not in the slightest. I'm in a decent enough position that resuming payments wasn't a huge hardship, but some people are and have since qualified for the watered-down forgiveness plans. Good for them (and I mean that).
But yeah, there are definitely some people blaming the guy who fucking tried to blanket forgive their debt and radio silent on the party they vote for that was responsible for smothering that plan in its crib.
Why not both? I am stoked that some people are getting relief! That said, if we can send billions of dollars to other countries to fund wars, I feel like we can do a little more here at home.
I am fortunate that I am doing okay financially that my loan payments won’t bankrupt me but I know not everyone is in that same position. However if I hadn’t been so close to taking care of other debts before the deferment finally went away things would have gotten uncomfortably right for me and my family.
I am aware that this is a me problem but I feel like with as long as that shit was deferred and with the price gouging that is happening in literally every aspect of life right now I am allowed a little anger towards Biden for not doing more.
That said, if we can send billions of dollars to other countries to fund wars, I feel like we can do a little more here at home.
Which would be great if Republicans and SCOTUS would allow it.
I am allowed a little anger towards Biden for not doing more.
What more could he do? He got student loan relief passed, SCOTUS struck it down and Republicans took over the house. He's done everything that is in his power to do, which is not much, but at least some people are getting relief.
I'm not going to pretend I'm a big Biden fan, but I just don't think he deserves criticism on this specific issue because he really did try and try hard.
we can send billions of dollars to other countries to fund wars, I feel like we can do a little more here at home.
People have a profound lack of understanding about the "billions of dollars to other countries to fund wars". Honestly, it's like this country has gone full "Idiocracy".
Money is NOT sent to off countries. The "money" provides jobs to people HERE to make weapons and equipment that is sent to countries - it provides good paying jobs here. That's why House Republicans are blocking aid to Ukraine because they want to tank the economy. That is why they will try to shut down the government. That is why they working so hare to create a worsening border crisis.
What a one-dimensional take. I'm very happy more peoples' loans are being forgiven. I'm also not happy that it's been promised/unpromised at every turn for so many. I also don't blame Biden, I blame the whole stupid inept Federal government for hating its citizens so much they'd rather see us all be poor and die than ever actually improve the state of things even a few inches.
It literally costs more to exclude people. Every program Biden has implemented or attempted was designed around offering minimal relief for maximal cost.
The weirdest part of this round of student loan debt forgiveness is, to enter the lottery, according to the article, you have to switch to the SAVE payoff plan?
I've run calculations for several people. Their loan payments would go up from 4x to 8x what they currently are paying if switching to SAVE. So, become loan-repayment-poor in the hope you win the SAVE lottery? Or keep paying off what you can sorta afford without losing the roof over your head?
Hooray for all of those that have won the lottery though! So cool to see people getting relief from that predatory system of uselessness.
I have almost qualified for student loan forgiveness so many times I lost count. Same as my wife, same as a lot of borrowers.
Biden is edging forgiveness at this point. Seriously, fuck means testing, fuck neoliberalism.
What, you don't like the carrot of relief, a chance to maybe feel like you have a snowball's chance in hell of ever getting ahead, dangled over your head 15 or 20 times over the last few years only to be snatched away every time?
The worst part is it started out from a place (I believe anyway) to genuinely help a lot of people, and now, like most political things, it seems to have been twisted to just cause more infighting.
If they wanted to help people the government would pay for college like they pay for the military. But they would rather prop up this lie where students are led to believe they are borrowing money from banks. When in reality, they are paying money to servicers who lend no money and these same servicers have no obligation to repay student debt back to the treasury.
It's a really hard system to defend the more you learn where this money comes from.
Add this one to the padded list of biden accomplishments too!
How much is this going to cost them in taxes later on?
What’s with all the downvotes
Lemmy.world is the largest instance with the broadest population from reddit. YMMV.
But to your question: it shouldn't. Student loans forgiven /debts cancelled until I think 2025 are exempt from being viewed as taxable income under the American Rescue Act.
Which is suspected to be part of the reason debt forgiveness is being percieved as being intentionally slow walked.