[tomder55]

oh yeah another small issue Clueless has NO CONSTITUTIONAL AUTHORITY to forgive these loans . The Constitution gives the purse strings to Congress.
"No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law.” (Art 1 Sec 9 Clause 7)


Flashback :

Nancy Pelosi says Joe Biden can't cancel student loan debt | REACTION | 'American Agenda' - YouTube



It would represent a middle finger to the Constitution, which vests legislative power in Congress, not the president. It would represent a middle finger to Congress, which has not given the executive branch the authority to give $10,000 each to millions of college students. It would represent a middle finger to the Department of Education, which found last year that it “does not have statutory authority to provide blanket or mass cancellation, compromise, discharge or forgiveness of student loan principal balances, and/or to materially modify the repayment amounts or terms thereof.”
Joe Biden Illegally 'Canceling' Student Loans Would Be a Middle Finger to America | National Review

[tomder55]

Will next year's freshman class borrow on the assumption that they too will not have to pay the loan back ?

btw more than 50% of outstanding student loans are for students in graduate school

[jlisenbe]

Will next year's freshman class borrow on the assumption that they too will not have to pay the loan back ?

Yet another reason that this is a dumb decision by the Biden admin that is clearly geared to yet more vote buying by the dems. They have no proposal for coming up with the money to do this, and as you say, he doesn't even have the Constitutional authority to do this. But then, the dems aren't too concerned about what the Constitution says to begin with.

[tomder55]

yes he knows he would lose in court . But this buys him time before the mid-terms to say he fulfilled a campaign promise.

[RandomPerson36]

As a person who's recently graduated from college, the amount of money I paid for my degree was simply OUTRAGEOUS, and I went to a school that considers its costs "affordable." I worked myself to the bone in high school by taking every relevant AP class I could fit into my schedule to earn credits early, working summer jobs, and applying to HUNDREDS of scholarships during my junior and senior years (and also while in college!) to try and earn and save up some money for tuition each semester. I even managed to earn enough credits to graduate a year early, but even with all that, the amount of money I still had to pay for three years worth of classes left my bank account COMPLETELY depleted (and this is just from tuition, not even including other supplies like textbooks, online resources especially during the worst of COVID, and other nonsense students are expected to pay for)!!! Thank goodness I have a supportive and loving family because otherwise I'd be destitute right now, but unfortunately, that's not the case for everyone.

Like seriously, how does society expect a young person to pay for a college education to earn a professional job while simultaneously paying for things like housing, utilities, transportation/gas, groceries, taxes, cell phones/internet, etc. all without getting loans and facing the risk of going into debt? If anything, those risks are the NORM and EXPECTED now! A lot of people I know are STILL paying off their loans even though they've been out of school for YEARS and even DECADES!!! Why??? This isn't right! Yes, trade schools and certificates are an option, but a lot of jobs want a person to hold a degree from an accredited four-year institution (or even a master's or doctoral degree)!

I can see where both sides are coming from in regard to loan forgiveness, but what I really want to know is what can be done to prevent this from being an issue to begin with (attack a problem from its roots, ya know?). What can be done so that students don't need to take out loan(s) and fall into a vicious cycle of living from paycheck to paycheck, hence leading to the problem of needing loan forgiveness?

[jlisenbe]

Welcome to the discussion, RandomPerson.

I can see your issue completely. I would only say this. There is no such thing as loan "forgiveness". All the feds can do is force other people (taxpayers) to pay off the loan. That strikes me as absurd. But you are correct in saying that something should be done to address college costs. Our elected officials seem to be completely uninterested in it.

[tomder55]

Will you be able to get a return on your investment with a job that will able to support you and hopefully give you fulfilment ? I know it seems like in the short term it will be a struggle ;and I believe it will be. Think and plan longer term .

I became a young adult college grad in 1977 . So I can appreciate starting out during tough times . There was a lot of belt tightening and delaying of immediate gratification. Chasing high inflation and interest rates ,it took a decade of saving to come up with the minimum down payment on a home. Purchased the home just in time to see the housing market collapse. While this was going on my wife and I started a family .

Stick with it . Sooner than you think the struggles will be in the rear view mirror. Without knowing your specific situation I can generalize that the average loan for bachelor degrees is $28,800 ....... less than the price of a new car.
At that price the return should be worth the investment IF you took a major you can cash in .

Average Student Loan Debt for a Bachelor's Degree: 2022 Analysis (educationdata.org)

So Clueless' plan would pay off a third of the average amount for people earning under $125,000 .

Who does this hurt? Maybe the guy who takes out a loan to start up a struggling retail store . Why should his taxes pay for it ?

[jlisenbe]

It is not always a bad thing to go through some struggle.

[tomder55]

This is my advice if you are a home owner paying $2000 /month mortgage payments . Apply for the loan forgiveness by saying that your mortgage identifies as a student loan

[tomder55]

heard someone say that he's not worried about a student loan because his son is 6'5" and will get a full scholarship to play woman's basketball

[tomder55]

as always ,the Bee has it's finger on the pulse.

Biden To Forgive $10k In Student Loans -- In Unrelated News, Nation’s Colleges Raise Tuition By $10k | Babylon Bee

Nancy Pelosi Leading The Charge For Biden Administration To Forgive Bar Tabs | Babylon Bee

[tomder55]

Would it surprise anyone that the biggest beneficiaries of the student loan gimme is swamp land residents ? NO not DC residents struggling day to day to live. I'm talking about swampland staffers of the permanent bureaucratic government .

The average debtor in D.C., according to a 2021 breakdown is $54,982

States With the Highest Student Loan Debt | AdvisorSmith

In particular ,the agency that oversees the student loan program ;the DOE's staffers owe between $2.8 and $6.5 million. The President's unconstitutional decree would wipe out more than a $ half million of the debt.

It is also a windfall for 30 of Clueless' key staffers .

At least 30 senior White House staffers have student loan balances, according to 2021 financial disclosures Bloomberg News obtained from the Office of Government Ethics, including Biden’s new press secretary, Karine Jean-Pierre, and Bharat Ramamurti, deputy director of the National Economic Council. ....Collectively, they owe as much as $4.7 million, the documents show, including one legislative aide who reported owing between $500,000 and $1 million. Generally, only senior or well-paid White House staff have to file financial disclosures, and they don’t have to report debt less than $10,000, meaning the total number of Biden’s aides with loan balances is certainly higher.

Student Loan Forgiveness: Top Biden Aides Have as Much as $4.7M in Debt - Bloomberg

[tomder55]

btw to those who argue that small businesses got paycheck protection progran (PPP) loans forgiven ;I would remind them that the government shut down the country but expected businesses to continue operating and supplying their workers a pay check. They were forced into it .This non sequitur is not the same as someone voluntarily taking out a loan .
Had the economy been operating normally businesses that could not pay back loans would file bankruptcy. The PPP program was structured as a transfer assuming that the debt would be waived . The program was approved by Congress with a large bipartisan majority. For the student loan forgiveness to be constitutional ,Congress would have to pass it .

Now if you say that some student loan issues should be permitted to be settled by bankruptcy or forgiveness then perhaps there is room to argue .
But many of the people who will be eligible for this student loan gimme are pulling in 6 figure incomes and have the means to pay the loans back.

Finally the PPP program was designed to prevent a total collapse of the economy during mandatory shutdowns . This student loan gimme is a crass desperate election season ploy to buy votes.

[tomder55]

I got a plan. Waive interest payment on the loans if income is below a certain level.

[jlisenbe]

Now if you say that some student loan issues should be permitted to be settled by bankruptcy or forgiveness then perhaps there is room to argue .

As I understand it, these loans are guaranteed by the feds, so in case of bankruptcy, the taxpayers would be on the hook. Same would be true of waiving interest.

[tomder55]

That is the moral hazard of the government guaranteeing loans .

Get the government out of the business . Not everyone is entitled to a college education. If that were so then a college education is devalued .
Parents should cosign college loans the same as with personal loans if the person applying for them do not have the means to repay them and it is a risk to give the loan.

Bankruptcy should be an option as they were until 1976 .It was historically not abused .So Congress made a mistake in getting rid of that option. By getting rid of it Congress was going into it with a presumption that students entered into the contract with the intent of fraud . No other loan program has such a presumption.

[jlisenbe]

Get the government out of the business . Not everyone is entitled to a college education. If that were so then a college education is devalued .

Completely agree.

Parents should cosign college loans the same as with personal loans if the person applying for them do not have the means to repay them and it is a risk to give the loan.

Even better, parents should help their kids shoulder the costs of education. Between my parents and me, I got out of college with no debt other than a used car I had purchased, and even that with my parents' help. And my parents had no great income, but they did have a sense of responsibility and love for their two children.

[tomder55]

[tomder55]

not all Dems are on board with the election season gimmee gimic . At least 13 states so far ;including NY ;Massachusetts Hawaii ,Pennsylvania Wisconsin plan on considering the forgiveness as taxable income .

[tomder55]

When Clueless made the decision to cancel student debt ,he was asked what was the legal basis for his declaration. We were told it was due to the pandemic.

Sunday on 60 Minutes Clueless declared the pandemic over .

"We still have a problem with COVID. We're still doing a lot of work on it. But the pandemic is over," "If you notice, no one's wearing masks. Everybody seems to be in pretty good shape. And so I think it's changing."

If the pandemic is over, then there is no ongoing national emergency to justify the unconstitutionally shaky legal grounds on which he based his decree .

Actually he declared it over long before he decided to give the loan forgiveness. May he stopped using Title 42 of the 1944 Public Health Services Act at the border because the Covid-19 emergency had passed.This allowed more illegals to cross the border .

But But But .... what about the parents who have taken out loans for their student child ? Shouldn't they get a break too ?

Undergrad student loans are capped at $31,000 . But if a parent wants to do a gap loan then the sky is the limit. About 3.6 million parental borrowers owe the government some $107 billion.(Parent PLUS loans) .These loans are rarely in default because unlike student loans , the government does due diligence and does credit checks before approving .

Senate Dems see a big opportunity here to have another election year gimmee. Clueless' plan includes those parents within the $10,000 ceiling . But some of the Dem Senators want more.

Van Hollen, Colleagues Urge Biden to Provide Student Debt Relief for Parent Borrowers | U.S. Senator Chris Van Hollen of Maryland (senate.gov)

The Dem benevolence with other people's money has no bounds .(Before this scheme was proposed we were looking at $1 trillion monopoly bucks )

Wait .....they can just write it off .


YARN | They just write it off. | Seinfeld (1993) - S08E05 The Package | Video clips by quotes | adccc352 | 紗 (getyarn.io)