(BrightPress.org) – Biden’s handlers are attempting to bait voters with a new student loan relief plan after the Supreme Court struck down their last attempt to shift the burden to the taxpayer. The new “SAVE Plan” is a rearrangement of the Income-Driven Repayment (IDR) plan that is supposed to help low-income individuals.
The shift would allow borrowers to avoid paying the principal on some of their loans if they manage to pay the minimum for a certain amount of time before the remainder is “forgiven.” Forgiven isn’t actually an accurate descriptor as the debt would be shifted to the taxpayer instead of the loan issuer forgiving the debt.
Under the SAVE Plan, a family that makes up to $225,000 per year could still have some loan debt “forgiven” or rather, paid off by the taxpayer instead of their six-figure salary.
The current total estimate of student loan debt held nationally is roughly $559 billion, which is representative of the inflated cost of education in the wake of the government guaranteeing loans to unqualified borrowers. Most Americans, 87%, do not have student loan debt. Tuition and housing costs have inflated dramatically in the last three decades, private colleges are up 80% and public universities have skyrocketed 124% in the same period.
As tuition goes up, the government guarantees bigger and more dramatic loans, the cycle spiraled into our current situation. Republicans in the Senate are offering the Lowering Education Costs and Debt Act which is a collection of five individual bills that target lowering the cost of education and addressing the bloated debt dragging graduates down economically.
Their plan hopes to better inform students about the true costs associated with their borrowing, including monthly payments, future earnings, and what help they can expect from scholarships or grants. It also makes repayment easier by streamlining the number of plans from 9 to 2, making things less confusing.
Republicans suggest the Biden administration is not addressing the root problem: inflated costs of education and government willingness to throw money at it.
Copyright 2023, BrightPress.org
