Student Loan Forgiveness: Biden Not Ready to Announce Decision – Forbes | Vette Leader

President Joe Biden is Not ready to announce a decision on student loan forgiveness.

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

student loans

More than 40 million student loan borrowers eagerly await Biden’s decision on possible historic student loan relief. However, anyone hoping for a decision today or tomorrow on a large-scale cancellation of student loans is out of luck. The White House confirmed Tuesday that Biden was not “ready” to announce that any Decision on student loan waiver. Previously, Biden said he would announce a decision to cancel student loans before the end of the August 31, 2022 student loan payment pause.

Student Loan Cancellation: White House Confirms Biden Not Ready

In a briefing with reporters on Tuesday, White House Press Secretary Karine Jean-Pierre answered this question about student loans:

Question: “Regarding student loans and the current pause in payments – they expire at the end of the month – many borrowers have told us they feel they are being left in limbo, making planning difficult financially. Is there an update to be expected? When can you expect it? And would it be just another extension, or what else could it be?”

Karine Jean Pierre: “So the President addressed that when he was asked, I think about two weeks ago, about the student loan and his decision. He said by ‘end of August’. So we’re still at the beginning, it’s approaching mid-August. So if he’s ready to make that decision, we’ll let you know.”

“[A]And we’ve made this very clear: The President understands how student loans can affect a family and — and how the pressure of it can be really big and put a lot of weight on a family’s purse or financial situation. So we understand. He makes – he will make his decision about it and if he has something to say we will share it.

The student loan payment pause ends in days

The student loan payment pause ends in days. With the end of the student loan moratorium, student loan borrowers will resume payments on federal student loans on September 1, 2022. It’s unclear why Biden hasn’t shared plans for sweeping student-loan forgiveness or a possible extension of the student-loan hiatus. There could be several plausible explanations. First, Biden may not have chosen one of the student loan policies. Second, Biden could wait to assess the political implications of a potential student loan decision that could impact November’s midterm elections. Third, Biden could wait for more economic data to determine if inflation will ease. Regardless of the underlying reason, time is running out. With student loan payments scheduled to resume in a few days, student loan borrowers are hoping to avoid a nightmare scenario of no student loan cancellation and the end of the student loan payment pause.

Student Loan Forgiveness: What’s at stake

Progressive Democrats are calling for a sweeping $50,000 waiver on student loans and an extension of student loan payments. When Biden cancels student loans, here’s what happens. Also, here are 4 things to expect if Biden enacts a large-scale foreclosure of student loans. Leaked internal US Department of Education documents show a proposal for Biden to cancel $10,000 student loans for federal student loan borrowers earning less than $150,000. Here’s who might qualify for student loan forgiveness. An extension of the deferral for student loans is not planned. Before his announcement, however, Biden could change that plan, opt for a new plan, or forego large-scale student loan forgiveness. Without clear guidelines for student loan repayments, student loan borrowers should assume that the student loan moratorium will end on August 31 and prepare for the resumption of student loan payments. What’s the best way to save money on your student loans? Start with these 3 options to pay off student loans faster:

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