- Five Republican Senators on On Wednesday, a bill was introduced to ban student loan forgiveness.
- The legislation prohibits Biden from taking any action to cancel or write off the debt of borrowers.
- The bill is unlikely to ever become law. soon with 50-50 Senate and Democratic-controlled House of Representatives.
Student loan borrowers want for wide debt forgiveness will out of good luck if Senator Mitt Romney has something to say about this.
Legislator from Utah together with some of his Republican colleagues on Wednesday presented new bill barring the Biden administration from widely repealing student loan debt – political move the president has been considering since he took office last year.
The Student Loan Accountability Act prohibits Biden’s Departments of Education, Justice, and Treasury from taking any action that reverses or forgives student outstanding balances of borrowers on a loan or even part of them of those balances, according to Wednesday’s press release.
The bill will include exceptions for student forgiveness, cancellation and repayment of the loan programs which already in effect such as civil service loan forgiveness and teacher loan forgiveness programs.
Republican Senator Richard Burr of North Carolina, Tim Scott of South Carolina, Bill Cassidy of Louisiana and Tom Tillis of North Carolina joined Romney in introduction of a bill in Congress this week.
The bill is unlikely to ever become law. soon with Senate 50-50, Democratic-controlled House of Representatives and Biden in Oval Office.
Over 40 million Americans currently Keep more over $1.7 trillion in student loan debt. On the campaign drag in In 2020, Biden promised to forgive each borrower $10,000, but more how year there were few movements during his presidency made on broad forgiveness.
“It doesn’t make any sense for Biden administration cancels nearly $2 trillion in student loan debtRomney said. in a statement that appears to refer to an unlikely scenario in which the president completely abolished of America student loan debt.
“This decision would be unfair not only to those who already paid off their loans or opted for alternative educational paths, but that would have been wildly inflationary at the time of already historical inflation,” the senator said. added.
Some times in In a press release on Wednesday, lawmakers said Biden has the legal authority to pardon or revoke ranks. of student loan debt is “legally dubious”. Earlier this year the head of the White House of Ron Klein’s staff, said the president was looking into his legal options for possible forgiveness.
Recent data from the White House suggests that Biden is considering student- loan forgiveness of at least $10,000 per borrower as a result of enforcement action, although questions remain around who will be eligible.
This was stated by Republican deputies who supported the bill. student forgiving credit would raise inflation, exacerbate inequality, and encourage colleges and universities to keep raising tuition. May Analysis found that Biden’s $10,000 plan cost in government 321 billion dollars.
But despite the ongoing policy debate, Treasury Secretary Janet Yellen said so. last week that student loan forgiveness “maybe good for in economy.”
“There are some trade-offs associated with the fact that need be analyzed,” she said during a Senate hearing.
Meanwhile, Democrats and their supporters continue to urge Biden to consider even more forgiveness, with progressives for $50,000 per borrower – amount the president himself said he was not considering it.
Romney previously said out against student forgiving a loan by calling it a “bribe” for voters. He warned that it could be a slippery slope that would lead to widespread forgiveness. for other types of debt.