Biden exploring mass cancellation of student loan debt, tells House Democrat: 'You're going to like what I do'



President Joe Biden reportedly told a group of House Democrats this week that he is exploring how to cancel all outstanding student loan debt.

As a presidential candidate, Biden promised to forgive $10,000 of student loan debt for every borrower. He has not yet followed through on that promise. However, he has repeatedly extended the COVID-related moratorium on student loan payments.

Outstanding federal student loan debt currently stands at $1.6 trillion.

What are the details?

During a private meeting with the Congressional Hispanic Caucus on Monday, Biden confirmed that he is exploring what executive action he can take to cancel student loan debt.

Rep. Tony Cardenas (D-Calif.) disclosed to CBS News that he told Biden at the meeting that his caucus supports canceling $10,000 of student loan debt per borrower. In response, Cardenas explained the president "smiled and said, 'You're going to like what I do on that, I'm looking to do something on that and I think you're going to like what I do.'"

Another lawmaker who attended the meeting anonymously told CBS News the White House is even exploring canceling all student loan debt.

"They're looking at different options on what they can do. On forgiving it entirely. That was our request," the lawmaker said.

While moderate lawmakers support canceling some student loan debt, progressive Democrats want to cancel all of it as an act of social justice.

"Student debt cancellation is racial justice. Student debt cancellation is gender justice. Student debt cancellation is economic justice," Rep. Pramila Jayapal (D-Wash.) said earlier this month.

Student debt cancellation is racial justice. \n\nStudent debt cancellation is gender justice.\n\nStudent debt cancellation is economic justice.
— Pramila Jayapal (@Pramila Jayapal) 1650133140

What is the WH saying?

White House press secretary Jen Psaki told reporters on Monday that the White House, while not yet making a determination about the president's authority to unilaterally cancel student loan debt, will announce any decision on debt cancellation before the payment moratorium expires on Aug. 31.

Thus far, the Biden administration has forgiven $17 billion in student loans, Forbes reported.

However, canceling all student loan debt via executive action would create an entirely new set of issues. Critics would immediately challenge Biden's action in court, leaving borrowers in limbo for an unknown amount of time. On the other hand, legislation passed by Congress with bipartisan support would be less vulnerable to legal challenges. But Congress is unlikely to pass such legislation in the near future.

Rep. Rashida Tlaib urges Biden to cancel student loan debt but gets called out for glaring issues with her argument: 'Your debts are your responsibility'



The Federal Reserve estimates that Americans owe more than $1.7 trillion in student loans. A group of progressive Democrats – including Rep. Alexandria Ocasio-Cortez (D-N.Y.), Rep. Ayanna Pressley (D-Mass.), and Rep. Jamaal Bowman (D-N.Y.) – took to the floor of the House of Representatives on Thursday to demand President Joe Biden cancel student loan debt. Rep. Rashida Tlaib (D-Mich.) also urged President Biden to forgive student loans for nearly 48 million people. However, many online commentators pointed out some glaring issues for her demanding U.S. taxpayer money be used to cancel student loans, including her own.

"And yes, I worked full time, Monday through Friday, and took weekend classes to get my law degree," said the 45-year-old Tlaib – who makes $174,000 per year as a United States Representative. "And still, close to $200,000 in debt. And I still owe over $70,000 and most of it was interest. Most of it was our own government making money and profit off of me."

Tlaib called on President Biden to use an executive order to wipe out student loan debt.

Rep. @RashidaTlaib: "I worked full time, Monday through Friday, and took weekend classes to get my law degree. And still, close to $200,000 in debt. And I still owe over $70,000 and most of it was interest."pic.twitter.com/STGxo70JlS
— The Hill (@The Hill) 1638731100

The video clip of Tlaib calling for student loans to be canceled caught the eye of many who noticed some issues with the Democratic Representative's argument for loan forgiveness.

Former Congresswoman and physician Nan Hayworth: "That's not the taxpayers' fault, lady. You bought it, you own it. Your debts are YOUR responsibility."

Attorney Harmeet K. Dhillon: "You’re making nearly $200k now, well above the average salary for a lawyer in DC, though you would not likely make that in the private sector, having passed the bar three years after graduating and apparently never having worked as an attorney. Pay your debt, what is the issue?"

Judicial Watch president Tom Fitton: "Government politician and communist complains about working 'full time,' wants to taxpayers to pay off her debts."

Attorney A.G. Hamilton: "1) forgiving student debt would exacerbate the problem. It shouldn't cost that much to get a law degree, but it does specifically because gov't subsidizes it & schools aren't responsible for recovery. 2) She makes 175K a year+... Why would we cancel debt for someone like her?"

National Review contributor Pradheep J. Shanker: "Say a single woman who makes almost $200k a year is commissioning about her student loans #FirstWorldProblems."

Podcast host Michael Knowles: "I really do not mean this as merely a partisan snipe or personal attack. But, having listened to this woman speak, do you think her education is worth $200K+? Does the intellectual and spiritual formation she received seem worth even a tenth of that?"

Conservative commentator Dinesh D'Souza: "Translation: I’m a bovine idiot. I’m terrible at law, as I make contracts I don’t intend to keep. I’m also inept at math, since I can’t figure out how to calculate interest over time. Happily, for an irresponsible moron, I’ve landed myself in the perfect place: CONGRESS!"

National Review writer Charles C. W. Cooke: "There’s almost certainly nothing that anyone cares less about than this."

Daily Caller correspondent Michael Ginsberg: "Within a year of graduating from law school, Rashida Tlaib was elected to the Michigan legislature."

The Daily Wire writer Ian Haworth: "That’s 40% of your minimum annual income. Pay it off already."

The Western Journal writer Randy DeSoto: "Why in the world should the American taxpayer be in the hook for the education choices people make? More govt money drives up tuition costs as it does in pretty much any arena of life."

Actor Matthew Marsden: "Your choice. No one else should have to pay for it."

Schumer: Biden 'considering' cancelation of $50K in student loan debt for every borrower making under $125K a year



Senate Minority Leader Chuck Schumer (D-N.Y.) said Monday that former Vice President Joe Biden is "considering" forgiving $50,000 in federal student loan debt for every borrower with an annual salary of under $125,000 — a move that would place an incredibly heavy burden on taxpayers.

More than 40 million Americans currently have outstanding federal loans, amounting to a whopping total of $1.54 trillion in debt.

What did he say?

"We have come to the conclusion that President Biden can undo this debt, can forgive $50,000 of debt the first day he becomes president," Schumer announced to supporters outside of his New York office. "You don't need Congress; all you need is the flick of a pen.

"I have told him how important it is. He is considering it," Schumer added after a reporter asked if he had spoken to Biden about the proposal. "We believe he does [have the executive authority], and he's researching that. I believe that when he does his research, he will find that he does."

JUST IN: Sen. Chuck Schumer: President-elect Joe Biden is "considering" forgiving $50,000 in federal student loan d… https://t.co/MHtzAhGGAK
— The Hill (@The Hill)1607360660.0

During the 2020 Democratic primary, Biden expressed support for a Democratic legislative proposal that would immediately cancel up to $10,000 in debt for each borrower. But since then, progressives in the party have been urging the former vice president to bypass Congress and cancel the debt by executive fiat.

Whether it is constitutional for a president to take such an action remains in question.

What else?

Later during the event, a reporter pressed Schumer on the equity of debt cancelation.

"What about the families that have made sacrifices to pay off the student loans for their students? What about the students who have paid off their student loans?" the reporter asked.

"Look," Schumer responded, "lots of students paid off student loans, but it's such a burden it's good for everybody to make sure this debt is vanquished."

After the event had concluded, one of individuals standing next to Schumer, mocked the reporter's question, brushing it off as just the "Fox News perspective" on the issue.

"These people have great futures, but they are burdened by debt ... we want to remove it," Schumer had plainly stated during the event.

Yet, despite Schumer's portrayal of debt cancelation as an obvious, kind solution, in reality, it is far from either. As TheBlaze previously reported, contrary to what progressive politicians claim, "'canceling debt' is not something that actually exists. Lawmakers could remove a borrower's liability for re-paying the debt, but the debt will be shifted onto someone" and "in the case of federal student loans, the burden would be further shifted onto taxpayers."