Don’t expect student loan forgiveness for every student loan borrower.
Here’s what you need to know — and what it means for your student loans.
At a virtual student loan debt summit yesterday, Senate Majority Leader Chuck Schumer (D-NY) criticized President Joe Biden for not enacting wide-scale student loan cancellation. Schumer repeated his call for Biden to cancel up to $50,000 of student loan debt for borrowers “with the flick of a pen,” referring to what Schumer believes is Biden’s legal authority to enact mass student loan cancellation through an executive order. Schumer says that cancelling student loans will stimulate the economy, and help a generation of student loan borrowers have extra money to get married, start a family, buy a home, save for retirement and start a business. However, here’s the thing: as much as student loan cancellation is pitched, the reality is that every student loan borrower won’t get student loan cancellation.
1. Every student loan borrower won’t get student loan cancellation
Student loan forgiveness has been loosely talked about in a binary way: either Biden cancels student loan debt, or no one get student loan forgiveness.