Fucking hate the Imperialist Democratic Party, and think there’s basically no chance they’ll actually pass meaningful student debt relief under Biden.
But a universal vanquishing of the first $50,000 held in student debt by graduates will meaningfully improve the conditions of tens of millions of Americans; for both graduates, and those who did never attended a post-secondary institution alike.
57% of Americans support “forgiving up to $50,000 in student loans for individuals who live in households that make less than $250,000 a year”, including a majority of those who never attended a College.
This just seems rich considering Chapo often mocked liberals who were incapable of admitting that Trump can do good things at times, and now they may fall into the same trap of opposing on instinct everything coming from the Biden camp.
Actually people should keep suffering, because stopping it with the stroke of a pen would alienate the working class
Not legally under U.S constitutional law since Youngstown Sheet & Tube Co. v. Sawyer. The difference is that 92% of Student loan debt is owed by the Department of Education, which is why the Executive can cancel it without needing Congressional approval.
Question. Usually the government sells these federal loans to private companies to collect. If a private company now “owns” that debt, how does the government have the right to forgive it?
Those private companies don’t actually own the student loan debt. They are called “student loan servicers” and are contracted by the Department of Education to manage portfolios of Student Loan debt, but it is ultimately the DOE who owns the debt. They’re like the debt collector for a loan shark, sure they’ll do everything they can to make your life miserable until you pay, but if the loan shark decides to forgive you, there’s nothing they can do about it.
Similarly, if the DOE wrote off all of the Student Loans Debt they control, using powers given to them by the 1965 Higher Education Act, they could simply tell those debt servicers to fuck off, and there would be nothing they could do about it.
