- The Washington Times
Monday, May 2, 2022

President Biden on Monday said his sweeping plan to forgive student loan debt is still under development.

Speaking at a White House awards ceremony for federal workers, Mr. Biden was asked whether he has finished his proposal to wipe up massive amounts of student debt for borrowers.

“Not yet,” he responded.

Mr. Biden is said to be mulling the forgiveness of a minimum of $10,000 in student loan debt per borrower through an executive order.

The plan represents a massive shift from his earlier more cautious approach he has taken since entering the White House. It also represents a thorny path for the administration as fears mount that a broad cancellation could send soaring inflation even higher.

Yet some Democrats say Mr. Biden‘s plan doesn’t go far enough and have urged him to cancel as much as $50,000 in student loan debt per borrower.

Although Mr. Biden‘s plan has not been finalized, Bloomberg reported over the weekend that it is oriented toward lower-and-middle class Americans.

Earlier this month, Mr. Biden extended the moratorium on federal student loan payments through Aug. 31.

Student loan payments were first paused in March 2020 by the Trump administration in response to the economic chaos wrought by the COVID-19 pandemic. That moratorium has been extended several times since.

About 40 million Americans hold $1.7 trillion in student loan debt.

Rep. Tony Cardenas, California Democrat, said last week that Mr. Biden is considering wiping out a “significant” amount of student loan debt, adding the president did not offer specifics but suggested his plan would please Democrats.

Mr. Cardenas attended a meeting Monday between Mr. Biden and members of the Congressional Hispanic Caucus.

“I feel very confident that he is pushing on his team to do something, and to do something significant,” Mr. Cardenas told The Washington Post.

Mr. Cardenas later told CBS News that Mr. Biden had told the caucus “you’re going to like what I do on that, I’m looking to do something on that and I think you’re going to like what I do.”

“The president never mentioned an amount nor did the president say that he was going to wipe out all student debt,” Mr. Cardenas said. “He did have a dialogue with us about the differential between young people who went to public schools or private schools and we CHC members should focus on both.”

• Jeff Mordock can be reached at jmordock@washingtontimes.com.

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