Sen. Warren: Canceling Student Loan Debt Is About Investing In Our Economy Overall - The ReidOut MSNBC

[Rhiannon12866]

President Biden has announced an extension of the moratorium on federal student loan payments, interest, and collections through the end of August. Sen. Elizabeth Warren joins The ReidOut on the importance of this student debt relief, and the benefits of enacting even broader student cancellation. Aired on 04/06/2022.

[LetMyPeopleVote]

1. I have two questions/issues with respect to the cancellation of student debt

In the articles discussing the cancellation of student debt by magic or executive order, I came across an issue that has been pestering me. What is to be done on future student loan debt and how will persons who were responsible and pay off their student loans be treated. I was on scholarship in law school but still had to borrow some money. I paid off that loan many decades ago. My son was offered a full scholarship to one law school but went to a higher ranked law school. He paid off his student debt a long time ago. Another child is on track to have her student debt cancelled by working for a public agency.

As noted above, the current proposals will not help people who were responsible and repaid their student loans or people who will incure debt in the future. https://www.forbes.com/sites/zackfriedman/2022/02/04/democrats-tweet-that-student-loans-should-be-cancelled-but-twitter-claps-back/?sh=5117abf23abd

Supporters of wide-scale student loan cancellation want one-time student loan forgiveness. In a perfect world, Biden (or Congress) would cancel all, or most, of the $1.7 trillion of outstanding student loan debt. That would be a major financial relief for current student loan borrowers. However, it wouldn’t help future student loan borrowers or student loan borrowers who already paid off their student loans. That doesn’t sit well with some in the latter group. “When and if Biden does cancel student loan debt don’t forget to send a refund to past federal student loan borrowers who worked hard to pay off their loans and delayed the same things you say current borrowers are delaying because they are paying off their loans.” Student loan borrowers who paid off student loans want their student loans paid for too. Many worked two or three jobs and made other financial sacrifices to pay student loans. Will they be included in any wide-scale student loan cancellation?

What will be done for such persons under these plans.

As for executive action, I remind you that the SCOTUS struck down Biden's OSHA rules for employers of 100 or more employees either being tested or vaccinated. The case on this issue is clear and that proposal should had been upheld by the SCOTUS. I seriously doubt that the SCOTUS would uphold the forgiveness of a very large amount of student debt by executive order in the real world. How do you propose getting around this problem in the real world?

I would love someone to explain how this works in the real world.