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Read Now: Biden administration cancels another $3.9 billion in student debt – 101 Latest News

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“It is time for student borrowers to stop shouldering the burden from ITT’s years of lies and false promises,” Education Secretary Miguel Cardona said in a statement.
In addition to the Corinthian Colleges debt cancellation and the borrower defense to repayment settlement, the Biden administration has also revamped the Public Service Loan Forgiveness program, introduced fixes to income-driven repayment, and extended relief to people with disabilities. But President Biden has not yet announced a decision on universal loan forgiveness, and if so, how much to forgive, with reports saying he will forgive $10,000 per student with income caps. That would wipe out student debt for about one in three borrowers, but a much smaller percentage of those who owe more than they originally borrowed 12 years after starting college—a group that is disproportionately Black.
The very fact that there are people who owe more than they originally borrowed shows the brokenness of the system, and makes a strong case both for full forgiveness of interest on past student loans and an end to interest on all current and future loans. Student debt would not be a $1.7 trillion problem affecting 45 million people without interest accumulating, raising the eventual price of higher education much higher for people whose families couldn’t afford to pay for it up front than what’s paid by people for whom the cost was manageable to begin with. Why should the child of, say, a home health care worker and a janitor pay more for college than the child of a doctor and a computer programmer?
The Biden administration has, through targeted interventions, cancelled nearly $32 billion in student debt. That’s far more than previous administrations, but it is not close to wiping out the existing problem, and it doesn’t make the fixes needed to keep the problem from continuing to get bigger.
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