Biden announces a plan B to forgive the loans to millions of university students

The President of the USA, Joe Bidenannounced this Friday a plan B to forgive the loans to millions of university students in the country after the setback of the supreme court that he knocked down his flagship program to cancel part of the student debt.

“This new route will take more time, but in my opinion it is the best route left”declared the president in an appearance before the media in the White House together with the Secretary of Education, Miguel Cardona.

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Biden explained that his government will use the Higher Education Law to cancel and reduce debt “under certain circumstances” to “as many debtors as possible and as quickly as possible”.

A new payment plan will also be launched based on income that will reduce the amount that each person must pay monthly and that will save 1,000 dollars (916.6 euros at today’s exchange rates) per year for most debtors.

Likewise, during the next year those financially vulnerable debtors who cannot make payments will not be considered delinquent, which in practice will be equivalent to a new moratorium similar to the one approved during the coronavirus pandemic. COVID-19.

Even so, Cardona qualified the words of Biden during a subsequent press conference to clarify that this is not a general pause, and that those who can afford the payments should do so.

The secretary clarified that they consider that the decision of the Supreme Today’s bill is wrong, but that they will abide by it, and that they will try to base the new plan to forgive student debt on other types of powers that require a longer legislative process.

For this reason, the person in charge did not want to venture how many students will be able to take advantage of the new system or how long it will take, and he trusted that in this case it will withstand judicial scrutiny.

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Improve access to education

“Today’s ruling closes a path, but we will look for another. I will never stop fighting for you. We will use all the tools we have to alleviate the student debt you need to achieve your dreams.”expressed Biden addressing the students.

In the same sense, Cardona assured that the Government wants to expand access to higher education and will continue to do so regardless of the high court’s decision.

In a decision supported by the conservative majority of the Supremeand which was opposed by the three progressive judges, the court considered that the Administration of Biden It did not have the power to cancel part of the student debt, a plan that it launched last year and which turned out to be an electoral asset to capture the young vote.

The plan provided sweeping debt forgiveness of $10,000, which in some cases could be as high as $20,000, and would benefit millions of people, but several Republican-ruled state attorneys appealed against it, saying it hurt the state. public treasury.

Visibly upset after the ruling, Biden he said he felt “upset” like millions of Americans, and accused the country’s highest court of having “misinterpreted” the Constitution with its decision.

He also lashed out at the Republicans, whom he called “hypocrites” for promoting debt forgiveness for large companies but preventing it in the case of students.

Biden he said he did what he was “appropriate” and what was in their hands, but “the Republicans took away hope” from the university students.

In a message on social networks, the president of the House of RepresentativesRepublican Kevin McCarthy, hailed the ruling because, he said, most Americans “they will no longer be forced” to pay off the student debt of a minority.

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Source: Elcomercio

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I am Jack Morton and I work in 24 News Recorder. I mostly cover world news and I have also authored 24 news recorder. I find this work highly interesting and it allows me to keep up with current events happening around the world.