HOW WILL WE PAY? FORGIVENESS OR DEBT?
November 18, 2022
Did you know that the national average of student debt in this country is around $32,731. Even if you were not aware of this statistic, rising seniors and college students are often tied down with the worry of the cost of universities and higher education.
Representatives such as Alexandria Ocasio-Cortez are pushing to reduce the amount of loans that must be paid back to institutions in order to give folks more time to then be able to buy more pertinent responsibilities: housing, bills, a car, etc.
Earlier this month, President Joe Biden informed the public about the student loan forgiveness plan.
” [W]hich included up to $20,000 in federal student loan forgiveness for tens of millions of borrowers. The plan also included an extension of the student loan payment pause and a proposal for a new income-driven repayment plan,” Forbes Advisor staff reported on.
Nevertheless, there is a catch, you must be at an income level lower than $125,000 or in the range of $250,000 if you have children. And, if you have a loan that is under the category of the Federal Family Education Loan organization, you do not qualify for your debt to be canceled. Then another exception is revealed that if you applied for this before Sept. 29, 2022, you actually are ELIGIBLE.
In all fairness all of these regulations and legislations are very confusing. Quite frankly, we shouldn’t even have to pay any money in order to be granted more education to get a job. Yes, there are alternatives to going to a four-year institution, but certain careers require a degree, so this puts many people in a difficult situation. It’s awful to think about how the amount of debt you will be taking on could be more than your income you make in a lifetime.
As for current updates, Justice Amy Coney Barrett took action by dismissing a legal charge brought up by Wisconsin taxpayers that felt Biden was going against the constitution by enacting the student-debt cancellation program.
Surprisingly, Barret made this decision. Although, she falls more on the right-wing perspective, and often does not agree with Biden’s policies.
Business Insider even found that eight billion citizens completed an application for the relief program! Hurray, this policy is (as of right now) here to stay.