Joe Biden Is Exploring Canceling Student Loan Debt, Report Says

Joe Biden speaks at an event.
Gettyimages | Drew Angerer
US Politics

President Joe Biden's administration is currently exploring the possibility of canceling student loan debt, Breitbart reported.

According to the publication, White House Secretary of Education Miguel Cardona is currently exploring the issue as Biden waits for policy memos before he makes a decision on the issue.

Notably, White House chief of staff Ron Klain said earlier this month that Biden is expected to review the memos and examine his legal authority on the issue before making a decision.

“Hopefully we’ll see that in the next few weeks, and then he’ll look at that legal authority; he’ll look at the policy issues around that and he’ll make a decision."

Pressure Is Growing On Biden To Forgive Student Debt

Amid the damage that the coronavirus has wreaked on the American economy, pressure continues to grow on Biden to forgive student debt.

According to CNET, the average student owes around $37,000 in school debt. Although Biden is facing pressure to forgive $50,000 per student, he previously said he would not cancel this amount of debt. Instead, he has expressed support for forgiving $10,000 per student.

“I’m prepared to write off a $10,000 debt, but not 50,” he said during a CNN town hall.  

“Because I don’t think I have the authority to do it by signing the pen.”

Biden Was Accused Of Lying About His Authority On Forgiveness

Joe Biden speaks in front of American flags.
Gettyimages | Chip Somodevilla

Despite Biden's claim that he does not have the authority to forgive $50,000 of student debt, some accused him of lying.

As The Inquisitr reported, former Utah congressional candidate Daniel Beckstrand argued that Biden has the power to cancel $10,000 or $50,000 whenever he wants.

According to Biden, the president does not have the power to unilaterally cancel student debt. However, Breitbart noted that the president appears set to cancel student debt without the approval of Congress — regardless of how much he decides to cancel.

A Senate Hearing Highlighted The Impact Of Student Debt Cancelation

As reported by Forbes, an April 13 Senate subcommittee held a hearing on student debt that highlighted the impact the proposal could have on current economic and racial justice issues.

Notably, Sen. Elizabeth Warren pointed to new data from the U.S. Department of Education that suggested a $50,000 forgiveness plan would rid approximately 84 percent of federal student debt borrowers of their dues.

According to Warren, Biden could enact such a plan via the  Higher Education Act.

Loan Forgiveness Would Allegedly Help 'Racist Economic Policies'

Per USA Today, many proponents of student loan forgiveness have contended that it would help address years of America's purported "racist economic policies," such as housing and labor discrimination.

According to the publication, Black Americans owe almost twice as much as their white counterparts, as well as significantly more than Latino and Asian Americans.

District of Columbia Attorney General Karl Racine has notably pushed for $50,000 in student loan forgiveness.

"We are talking about people of color who have been unfairly treated economically throughout the history of our country."