President Joe Biden will make a decision on student loan forgiveness but he has disclosed that there is one option that he has ruled out completely.
“I’m not considering $50,000 in debt reduction,” said Biden. “But I am in the process of taking a hard look at whether or not there will be additional debt forgiveness.”
In a speech from the White House today (April 28) Biden said that his final answer will come “in the next couple of weeks.”
Currently the amount of debt that student borrowers across the nation face is well over $1.7 trillion. It also exceeds the burden of both credit card and auto debt in households in the U.S.
While he did not mention an alternative to what he wanted to do rather than relieving the $50,000, during his campaign trail Biden did say that he would consider $10,000 in relief.
The news comes shortly after his request to Congress for a new Ukraine aid package during the same speech. He is seeking an additional $33 billion in aid.
Even if he went forward with that option, approximately 70% of student loan borrowers would still be left with debt. Currently there are 43 million Americans impacted by the present federal student loan pause.
On Wednesday (April 27), Senate Majority Leader Chuck Schumer expressed that he was “really hopeful that the goal that we have had, $50,000 of student loans canceled, is getting more and more likely.”
Now that Biden has completely diminished the possibility of this happening, other leaders have voiced their disappointment in the president’s failure to make a decision on student loans that will help others, especially Black people.
“For the Black community, who’ve accumulated debt over generations of oppression, anything less is unacceptable,” said the national director of the NAACP Youth & College Division, Wisdom Cole.
President Biden, we agree that we shouldn’t cancel $50,000 in student loan debt. We should cancel all of it. $50,000 was just the bottom line. For the Black community, who’ve accumulated debt over generations of oppression, anything less is unacceptable. #CancelStudentDebt
— Wisdom Cole (@wordsofwiz27) April 28, 2022