discussion Student Debt - Update: GOP lawsuit attempts, Biden allows opt-out; FFEL restrictions

[Communion]

 

 

 

Update -

 

 

Update -

 

 

Edited September 29, 2022 by Communion

[GhostBox]

?????? This is gonna help so many people when they forgive 10k. 
 

the mentality of “all of nothing” just hurts others. I’m glad they aren’t In change of the decisions. ????

[Dula Peep]

of course the ungrateful Gen Z and Millennials will b*tch about this  

[L0verb0y]

I mean... I'll take it! BUT that still doesn't address the real issue, predatory interest rates! They need to be lowered. 

[newuser]

3 minutes ago, L0verb0y said:

I mean... I'll take it! BUT that still doesn't address the real issue, predatory interest rates! They need to be lowered. 

I would honestly take no interest than 10k forgiveness but it’s just me. 

[kandicha]

Is it confirmed or still a rumor that he’s going to wipe out $10k per borrower? That’ll take care of the rest of my loans if so, so   And it’ll help so many other people as well.

 

That being said, it’s definitely still a stopgap measure for a bigger crisis and something needs to be done to make university in the US less disgustingly expensive.

 

[Happylittlepunk]

10k is better than nothing tbh. Some of these people want 100k in student debt forgiveness when majority of college students don’t have that high debt. Anyone who has more than 100k in student debt is literally a fool. How can anyone do that too themselves or too their parents. That’s not smart financial decision. 

[Communion]

16 minutes ago, onapearl said:

10k forgiveness would wipe out my debt

That would be joyous. I'm so happy for you. The issue that the NAACP and Congressional Black Caucus have with $10k is that it only wipes out a sliver of debt, leaving over two-thirds of borrowers still in debt. There is the argument that simply erasing all interest and applying interest paid to the principal would likely see most borrowers get more than $10k forgiveness. 

 

If he wanted specific benchmarks, I believe he would have to aim for around $35k to wipe out a simple majority of borrowers' debts and, as far as the organizations mentioned are concerned, around $50k to wipe out at least a simple majority of black borrowers' debt. This being because black students are forced to borrow more on average and thus less student debt forgiveness disproportionately benefits white borrowers over borrowers of color. 

 

I believe Sen. Warren's office released such an analysis and the jump of just how many people get total debt forgiveness between $10k and $50k is pretty staggering. 

Edited August 23, 2022 by Communion

[XAMJ]

10k IS better than nothing.

[Cruel Summer]

The fact that this is inadequate and the bare minimum at best - but still gets a few “yas queen!” shouts from moderate to conservative Democrats - is the point. They don’t want to solve any problems, they just want to look like they’re doing nice things for a few extra votes in the midterms. Average debt is around triple this amount among graduates, and as others have said, it does nothing about interest - or about future graduates! Not to mention the timing since payments are about to restart in literally a week and tons of people just had their loan servicers switch on them - could’ve done this (or far better) at any time but they need the votes 

[Gov Hooka]

Boot lickers in here saying “something is better than nothing” are disgusting. A measure like this doesn’t do anything about high interest rates, and won’t help the majority of borrowers in a significant way. If this is how you expect to win ppl to your political side by expecting them to celebrate literal scraps thrown by the fed Gov. then **** you. 

[shookspeare]

10k is basically what my university charged for the privilege of breathing on its campus

 

good thing I was on scholarship but this sounds pretty useless for people who went to private schools

[rp662]

22 minutes ago, GhostBox said:

?????? This is gonna help so many people when they forgive 10k. 
 

the mentality of “all of nothing” just hurts others. I’m glad they aren’t In change of the decisions. ????

 

[GhostBox]

24 minutes ago, onapearl said:

Stop the "10k is too low" **** omg. 10k forgiveness would wipe out my debt. It's at least something. 

So happy for you. ?

[GhostBox]

6 minutes ago, Gov Hooka said:

Boot lickers in here saying “something is better than nothing” are disgusting. A measure like this doesn’t do anything about high interest rates, and won’t help the majority of borrowers in a significant way. If this is how you expect to win ppl to your political side by expecting them to celebrate literal scraps thrown by the fed Gov. then **** you. 

If you don’t like it you have the right to vote for the only  other side who has a chance of winning who is offering……oh yeah nothing. 
 

 

[nadiamendell]

This better also come with an elimination of interest rates, otherwise... 

[Archetype]

I'll get $0, so helpful of them.  Thanks for absolutely nothing.

[Communion]

4 minutes ago, Gov Hooka said:

Boot lickers in here saying “something is better than nothing” are disgusting. A measure like this doesn’t do anything about high interest rates, and won’t help the majority of borrowers in a significant way. If this is how you expect to win ppl to your political side by expecting them to celebrate literal scraps thrown by the fed Gov. then **** you. 

Them going "all or nothing" when Biden has the sole authority to decide how much is forgiven. 

 

There is no "all or nothing". This isn't legislation. There is no negotiation. It is Biden as a sole authority deciding how many people he wants to free from debt he helped put them in. Debt he has literally mocked and insulted young people for complaining about. 

 

I would honestly respect people more if they just went "I wanna feel bad for poor people, so I'll help them out but not TOO MUCH so they know their place". At least the honesty would be respectable. 

 

The idea that more forgiveness can't be done because "or else you'll get nothing" is a lie. The idea that we can't do more because "it'll benefit the well-off" is a lie. It's a masterclass in gaslighting. 

 

Even the CBC knows the fury and backlash amongst what is ironically THE Dem base over doing too little. 

[ClashAndBurn]

This 10k forgiveness will be wiped out almost instantly by interest. So everyone celebrating "something is better than nothing   " like a pack of trained seals is telling on themselves that they are too far removed from the crisis to understand what this even means.

[americanlife]

He should either cancel only the interest rate, cancel $50k or all of it, or just cancel none. I’d prefer those over means tested $10k.

[GhostBox]

No president ever is gonna eliminate all student debt. It’s not happening.

 

yes those of us who are happy about this realize and do want more. And we will fight for that in the future. But this is what can realistically be done now and why would I want to deprive millions of people (like @onapearl ) the happiness of having 10k of their debt gone because “I want more” that’s selfishness. 

Edited August 23, 2022 by GhostBox

[Dula Peep]

14 minutes ago, Cruel Summer said:

The fact that this is inadequate and the bare minimum at best - but still gets a few “yas queen!” shouts from moderate to conservative Democrats - is the point. They don’t want to solve any problems, they just want to look like they’re doing nice things for a few extra votes in the midterms. Average debt is around triple this amount among graduates, and as others have said, it does nothing about interest - or about future graduates! Not to mention the timing since payments are about to restart in literally a week and tons of people just had their loan servicers switch on them - could’ve done this (or far better) at any time but they need the votes 

Ok don't take the free money then...  

[GhostBox]

Just now, americanlife said:

He should either cancel only the interest rate, cancel $50k or all of it, or just cancel none. I’d prefer those over means tested $10k.

I think the interest rates  should also be looked at. Hopefully it’s part of the plan or a future step they take. 

[Communion]

2 minutes ago, GhostBox said:

But this is what can realistically be done now 

There is virtually no drop in support of Biden forgiving $10k and Biden forgiving $50k. There is literally no political risk in doing up to $50k. 

 

Why even try to lie to everyone about this fact? How much more gaslighting do those of us from low-income households and who were first generation graduates have to undergo? Stop lying to us. Tell us the truth. 

Edited August 23, 2022 by Communion

[GhostBox]

4 minutes ago, Communion said:

There is virtually no drop in support of Biden forgiving $10k and Biden forgiving $50k. There is literally no political risk in doing up to $50k. 

 

Why even try to lie to everyone about this fact? How much more gaslighting do those of us from low-income households and who were first generation graduates have to undergo? Stop lying to us. Tell us the truth. 

I’m also from a low  income household and a first gen graduate. This is the truth. You will never have all of your student debt forgave. 
 

 

if you don’t like this decision and would rather him not do anything at all then you can call however is in charge of your debt and tell them you don’t want the help. ?

Edited August 23, 2022 by GhostBox