- Pres. Joe Biden announced a new student debt forgiveness plan on Monday during a campaign visit to Wisconsin, building on his previous policies to cancel the debt of millions of borrowers. ABC News
- He said the new relief, which comes after the Supreme Court struck down his initial plan to cancel up to $20K for roughly 43M eligible debtors, could be "life-changing" for "hard-working Americans." NBC (LR: 2 CP: 4)
- If implemented, the plan, combined with previous actions, would provide student debt relief to over 30M citizens. The Biden administration has already approved $146B in relief through dozens of executive orders. The White House
- The new proposals could provide relief for people with larger balances than their initial principals due to interest, those who haven't enrolled in existing student loan forgiveness programs, and those who have been in repayment for 20 years or more. CNN (LR: 2 CP: 5)
- Some 25M borrowers stand to benefit from the new program, which aims to cancel up to $20K in accrued interest per individual. According to the Biden administration, 23M of these borrowers will have their entire balance growth forgiven. CNBC (LR: 3 CP: 5)
- The proposals must undergo a public comment period before the Department of Education can publish a final version of the plans. Such relief could take effect by July 1, 2025. CNN (LR: 2 CP: 5)
Democratic narrative:
- Joe Biden is committed to helping millions of Americans crushed by student loan debt and will not sit on his hands while people struggle. Though the right-wing Supreme Court struck down Biden's initial proposal to provide sweeping relief, it didn't rule that Biden was prohibited from passing smaller relief packages. The GOP has no interest in helping millions of young people who are simply looking to get ahead by receiving an education. Still, Biden and the Democrats will do everything possible to provide desperately needed aid to those Americans.
WASHINGTON POST (LR: 2 CP: 5)
Republican narrative:
- Last year, the Supreme Court rightfully struck down Biden's unconstitutional proposal to cancel billions of dollars of student debt, yet the president kept trying to circumvent the ruling. Everyone knows that debt doesn't simply disappear, meaning that Biden is asking the American taxpayer to foot a nearly half-trillion-dollar bill to pay for other people's college degrees. From ignoring the Constitution to stealing from taxpayers, Biden and the Democrats are showing a clear disregard for American citizens.
FOX NEWS (LR: 4 CP: 4)
Nerd narrative:
- There's a 50% chance that the US student loan debt bubble will "pop" by 2038, according to the Metaculus prediction community.
METACULUS (LR: 3 CP: 3)