(RoyalPatriot.com )- President Joe Biden was under immense pressure during his first days in office to cancel student loan debt, but he resisted. For once, Biden stayed true to his old principles as a moderate – but reports suggest that the president has quietly forgiven student loans for government workers, while millions of people all over the country remain stuck with huge sums of debt chasing them for decades.
The issue of student debt is one that Democrats and Republicans both agree and disagree on. The two parties tend to disagree on the idea of forgiveness, with Republicans often arguing that people should pay their own debt. However, where there is some agreement is that universities are charging way too much for an education that is no longer all that valuable.
While millions of Americans keep on dutifully making repayments to their student loan accounts, Joe Biden has been allowing federal government workers to break free from their debt under the Public Service Loan Forgiveness program.
The program was established by the College Cost Reduction and Access Act of 2007. It allows former students who now work full-time for non-profit organizations, including the government, can wipe off their entire student debt balance after they have made 120 qualifying monthly repayments. It means that people still have to pay 10 years of their debt, but that the remainder is just…wiped.
In order to qualify, borrowers need to enroll in a federal income-based repayment plan, which allows some people to pay as little as zero dollars per month.
That’s a pretty sweet deal.
People making these repayments were also lucky enough to land several months of paused repayments during the COVID-19 pandemic – a pause that has been extended three times by the Biden administration so far. Payments have been paused until May 1 this year.
According to data from the Department of Education, over 471,000 borrowers – most of whom work for the government – are enjoying loan forgiveness under the Biden administration.
If some people are allowed to wipe off their debt, why not millions of others?