Student Loan Forgiveness: 4 People Likely Against Student Loan Cancellation – Forbes | Vette Leader

Here are 4 people who will likely resist getting their student loan forfeited.

Here’s what you need to know – and what it means for your student loans.

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Student loan forgiveness is popular with progressive Democrats and student loan borrowers. For example, a recent poll found that 64% of respondents support student loan forgiveness. The Biden administration understands that sentiment, and Biden has canceled $17 billion in student loans. However, not everyone supports large-scale student loan cancellations. Here are 4 people who are unlikely to support student loan forgiveness – and what that could mean when the November elections come around.

1. Americans without a college degree

Approximately 65% ​​of Americans do not have a college degree. There are many reasons why someone does not attend college, from cost to alternative employment opportunities to lack of access to higher education. Americans who do not have college degrees are less likely to support large-scale student loan forgiveness. Why? On average, a college degree can lead to a higher income. Many Americans without a college degree also struggle financially. If these individuals did not enjoy increased income from a college degree, is it fair to ask them to repay student loans for student-loan borrowers who benefited financially from attending college?

2. People who have already paid off student loans

People who have already repaid student loans are less likely to support large-scale student loan forgiveness. The latest student loan debt statistics show that there are 45 million student loan borrowers who collectively owe $1.7 trillion. There are approximately 250 million adults in the US. That means nearly 200 million adult Americans have no student loans or have never had student loans. Former student loan borrowers who are now, on average, debt free may not like the idea of ​​current student loan borrowers receiving student loan cancellation. Many of these former student borrowers made financial sacrifices to pay for college, including working at multiple positions and forgoing other financial options such as saving for retirement or buying a home.

3. Americans who owe a mortgage

Mortgages, not student loans, represent the largest dollar amount of consumer debt in the United States. In particular, Americans also hold significant credit card debt, personal loans, and auto debt. Will the federal government provide financial relief to these Americans who are also struggling financially?

4. Anyone else struggling financially

There are also many people who are struggling financially and do not have significant debt or student loans. You can live paycheck to paycheck. They may have recently lost their job and are unable to find work. They are affected by inflation. Yes, they may have received one or more stimulus checks during the Covid-19 pandemic. However, you may be wondering why student loan borrowers are prioritized for financial relief when they too are struggling financially at least as hard.

Student Loan Forgiveness: Midterm Election

The midterm congressional election is Nov. 8, 2022. Biden could cancel student loans before August 31, 2022 when the student loan payment pause expires. (Student Loan Forgiveness: 5 Key Takeaways from the Big Announcement). Alternatively, he could extend the Bafög relief or let it expire. Before making a decision, the Biden administration will likely evaluate the policy implications of a policy decision on large-scale student loan forgiveness. Progressives in Congress have warned Biden that failure to enact a large-scale student loan cut could hurt Democrats in the election. Likewise, moderates in Congress warn that cutting student loans could alienate independent and conservative voters, which could also hurt Democrats’ electoral prospects. Importantly, while these 4 types of people are, on average, less likely to support widespread student loan forgiveness, this does not mean that individuals in these groups would not support such policies. For example, there are many individuals who have never had student loans or repaid student loan debt who support comprehensive student loan forgiveness. Also, voters can choose candidates based on multiple policy issues, not just their position on student loan forgiveness.

With student loan easements expected to end on August 31, now is the time to prepare for your next step with your student loans. Here are popular methods to pay off student loans faster:

Student Loans: Related Reading

Student Loan Forgiveness: 5 Key Takeaways From The Big Announcement

Here’s who doesn’t qualify for $6.2 billion in student loan foreclosures

Biden will cancel student loans or extend student loan pause before August 31

Bafög termination and Bafög payment pause are confusing. Here’s what you should know.

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