Biden Forgiving More Student Loan Debt a Week After Polls Showed Young Voters Deserting Him
“Student loans were never meant to be a life sentence, but it’s certainly felt that way for borrowers locked out of debt relief they’re eligible for”
The Biden administration has just announced that it is going to erase student debt for up to 40,000 borrowers. The timing of this could not be more obvious.
Just last week, a new poll from Gallup found that young voters are turning on Biden.
The Hill reported:
Biden approval ratings decline most among younger generations: Gallup
President Biden’s approval rating among younger generations of Americans has declined, according to a new Gallup poll released Thursday.
The new poll found that Biden’s approval rating among millennials and Generation Z respondents had dropped nearly 20 points since the beginning of his presidency.
Thirty-nine percent of Generation Z respondents said they approve of the job Biden has done as president, a 21-point decline from 60 percent of respondents who approved of Biden’s handling of the job when he first took office.
Forty-one percent of millennial respondents said they approve of Biden’s job as president, a 19-point decline from 60 percent of respondents who approved of his job as president through the months of January and June 2021, his first months in the White House.
What is a president to do? Simple. Give away money.
Yahoo Finance reports:
Biden administration to erase student debt of more than 40,000 borrowers
The Biden administration continued its student loan cancellation effort on Tuesday by announcing that 40,000 borrowers would see their student loans become eligible for discharge under the Public Service Loan Forgiveness program and 3.6 million more will move closer towards forgiveness.
The Education Department will give borrowers retroactive credit for “forbearance steering,” where student loan servicers have pushed borrowers into unnecessary interest-accruing forbearance. In another move that could help many other borrowers, the department will also take greater care to accurately track monthly payments for borrowers on income-driven repayment — which allows people who make less money to make smaller payments.
The two moves bring millions of borrowers closer to forgiveness on government repayment programs.
“Student loans were never meant to be a life sentence, but it’s certainly felt that way for borrowers locked out of debt relief they’re eligible for,” said U.S. Secretary of Education Miguel Cardona said in a press release.
To my utter amazement, Matt Lewis of the Daily Beast thinks this is a bad idea:
Let’s start with the substance. Academic research suggests that canceling student debt helps the rich more than the poor. Some people owe a lot of money—not because they are poor—but because they were wealthy enough to make bad bets. That is to say, they took out a loan to purchase what they believed would be a valuable investment that would pay dividends later (about half of all student debt is for graduate school).
As The Brookings Institution’s Adam Looney noted, “Medical school graduates typically owe six-figure student loans but that doesn’t mean they are poorer than high-school graduates who did not go to college.”
Should the person with the big medical school loan (for a degree that will make them millions over the course of his life) be forgiven, while the community college student who worked nights and weekends to pay for school gets nothing?
On top of that, canceling student debt would only perpetuate our current (corrupt or flabby—you choose) system. In the higher education bubble, the value of most college degrees has not kept pace with skyrocketing costs.
This latest move from the Biden administration is deeply cynical and purely political.
Worse still, the far left now has Biden right where they want him on this issue. Expect them to redouble their efforts on free college and total student debt cancellation.
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Comments
Missed out charging these deadbeats as dependents on my income taxes
He is trying to buy votes with taxpayer money, but the are deadbeats and too lazy to go to the polls.
WE are the ones paying this SH!T
Shared/shifted responsibility, progressive prices and availability.
Meet the latest bunch of gib-me-dats to join the rest of the Free $hit Army. Vote buying at its simplest. There are SO MANY jobs available out there right now there is ZERO reason for any handouts to anyone anywhere anytime. America falls further and further into the pit of doom………
“What is a president to do? Simple. Give away money.”
Let’s use the accurate word: BRIBERY.
A democracy cannot exist as a permanent form of government. It can only exist until the voters discover they can vote themselves largesse out of the public treasury. From that moment on the majority always vote for the candidate promising the most benefits from the treasury, with the result that democracy always collapses over a loose fiscal policy.
–ALEXANDER TYTLER (or so they say)
“A democracy [with universal suffrage] cannot exist as a permanent form of government.” Fixed it.
When the vote is properly understood as a privilege earned by productive citizenship, not a right given to every last deadbeat on the street corner, then a democracy can last.
Whose been behind just about every effort to extend the franchise, by the way? Three guesses.
I don’t agree with the edit. The America of the well-known story of “Not Yours to Give” was the original America featuring only white, male landowner suffrage, and the infection was already well spread.
How do you think universal suffrage is fixed? We have thousands of illegals coming across the border every day in the hope that they will some day vote Democrat, and JB has no intention to anything but speed up this invasion. This Democracy is rapidly headed in the same direction as Rome.
Disgusting, pandering motherfucking retard.
It’s tinkering at the edges. This impacts 40k borrowers out of the 45 Million people who owe on student loans. Frankly the admin knows full well they can’t waive the debt all they can do is waive fees and interest and how these were booked. That’s why this action is so limited.
There is zero widespread public appetite to discharge these debts. The pushback from the people who paid off their loans, used their earned GI bill, worked multiple jobs to pay as they went to JUCO or a trade school will be staggering if they try to do it. Not to mention the many tens of millions who never went to college. Why should taxpayers be on the hook for deadbeats?
“Student loans were never meant to be a life sentence”
And they sure as hell were never meant to subsidize crap majors like womyn’s studies, DE&I Nazis, CRT drones, and LGBTQIAGYKFVILGFB groomers masquerading as elementary ed students.
If student loans are life sentences, are mortgages death sentences? Just when you think they can’t sink lower … .
If the fedguv gets what it’s planning, none of this will matter in 20 years anyway. When you actually look behind the curtain (which CNN in the above link carefully avoids), you discover that all your “money” will be virtual, digital, social-credit crap that they can hocus-pocus any way they please if you displease them. Read the actual bills, and they clearly state that digital currency will not be an “option,” it will physically replace all FRNs, which will be destroyed.
I think if that happens, there will arise a parallel economy based on barter, physical gold/silver/copper and/or crypto. People are already talking about it, along with homesteading and going off grid.
Oh, you can bet on it. This has black market writ large all over it. But it is just one more way that they will make day-to-day life so exhausting, so insupportable, that it will wear much of the remaining resistant populace down into submission.
No doubt that the govt would love to have the digital currency. It would allow them to see every transaction and more importantly allow them the direct ability to reward or punish. Buy something on the naughty list and they can reallocate your funds or simply raise your rent. After all if govt and institutional investors; Blackrock, own and manage the Banks and a large store of housing it becomes much easier to control and compel the population.
So, all the young people who don’t get their loans forgiven are going to have to pay for those who do get their loans forgiven. And that’s supposed to convince the young people who have to pay for other people’s debt to vote for Biden. How does that work again? I’m missing something.
dging,
This is very simple start with the story of the Grasshopper and the ant, then add in social justice concepts and blend. Presto out pours the answer:
The ant, being frugal, hardworking and demonstrating deferred gratification was exercising his privilege. The grasshopper was simply living his best life according to his cultural mores which obviously can’t be judged as lesser or negative, no indeed all cultures and the resulting conditions are equal. Therefore to demonstrate that equality the ant must transfer the fruit of his labor and sacrifice to the grasshopper.
Are you assuming the genders of the ant and the grasshopper? /sarc 😉
Straight up theft. The Democratic Party is a criminal organization that has a political component.
I did PSLF and it took 10 years of faithful payments to get the rest forgiven. I’ve heard it’s up to 20 now (with lower payment amounts per year).
This won’t move the needle for those voters because they want their student loans forgiven now, not in a decade or 2.
The federal government is responsible for the insane cost of college tuition. No one bothers to explain why to anyone. I will never forget a Thomas Sowell column from the previous century, during my political tranny years from leftist twit to conservative. He and Milton Friedman helped change my thinking (not just economic thinking) more than any others. He wrote about college costs and that someone in the US Dept. of Education said that colleges increase tuition because they can get away with it. To make sure I had that correct, I looked that up. And yes, it was Bruce M. Carnes who said that back in 19 and 88.
https://tinyurl.com/2p8twvx5
The giant piles of federal cash waiting for students in loan form AND waiting for colleges in grant money, research, etc., is a 100% guarantee that costs will never go down. There is zero incentive for schools to keep costs low.
It’s such a racket and you get all these dumb parents scratching their heads saying – gee, I wonder why I have to mortgage my house? And dumb students saying after graduation – gee, I wonder why i can’t afford a house with all this debt?
Country full of idiots.
Much the same thing with healthcare. Zero incentive for hospitals to control costs.
I’m sure it’s a law named after someone by now: any subsidy available for a good or service forms a hard price floor for that good or service.
Best textbook example: the $50 “digital TV converters” back when the fedguv offered a $40 subsidy — the exact same converters that are $15 today.
It’s simple to see (though most people just fail to look for it) that such a subsidy, “laundered through the consumers,” is nothing but a masquerade costume for unconstitutional direct federal tax payments to favored industries (in this case, colleges). Same as they do for deep blue cities.
“Student loans were never meant to be a life sentence”
No, what the are however are obligations. Responsibilities entered into of their own free will.
I paid my last student loan off with my combat pay, even though I could have kept getting extensions for them. No surprise how I feel about these deadbeats getting bribed by Biden for votes, potentially with the money I paid back,
Extremely apt meme on this subject.
Go to your local community college on open enrollment day. You’ll see a line of people out the door taking 6 credit hours worth of classes and taking the maximum amount of student loan debt. The parking lot will be full until the day they cut the student loan refund checks then BAMM!! empty parking lot.
Student loans have been turned into a free handout system. What do they care if their credit rating suffers?
Cancel the loans and you’ve just been given the opportunity to do it again.
You got that right. I represented a party in a bankruptcy case in Tampa 3 years ago. The debtor was 66 years old and would repeatedly enroll in a local community college, tuition paid by a federally guaranteed student loan disbursement. A week into the semester he would withdraw, and the school would refund 95% of the payment directly to the student/debtor. He admitted to the trustee that he was living off that “income” and restoring a boat with some of the proceeds. No one in the school loan administration process would think to ask how much sense it made to have a guy who is 66 pursuing his first college degree and repeatedly dropping out in the first semester. In a deposition he stated that he expected to die without having paid back anything on his student loans. In that situation it’s not a publicly subsidized higher education finance system – its welfare by another name.
If you look at a lot of the journalism on this topic you will not see any acknowledgement that it is a zero-sum game – either the student/borrower repays the loan, or the taxpayers do. They write that Biden is cancelling student loan debt as if it magically disappears. It merely shifts to the taxpayers. [Note: There are approximately $1.7zT in student loan balances outstanding at present which means about $T in federally guaranteed loans.]
The best way to fix this widespread problem is to require the institution to be the first payer in the event of borrower default or non payment. Until the institutions have incentives to take account of ability to complete a program then this continues. Why wouldn’t it? It’s a nice grift.
“Biden Forgiving More Student Loan Debt…”
He’s very forgiving with other people’s money.
Socialists always are.
I didn’t incur this student loan debt, I don’t understand why I as a taxpayer should pay for it. As a matter of fact, I have paid my own student loan debt, that of my wife, and my son has paid off his. Do we get a refund for what we have paid?