Ohio Congresswoman Shontel Brown applauds President Biden for forgiving up to $20,000 per person in student loan debt after NAACP National President Derrick Johnson and former Ohio senator Nina Turner of Cleveland criticize him saying $20,000 is not enough and that the president broke a campaign promise to Black America to do more ....Congresswoman Brown says $20,000 is a start....By editor Kathy Wray Coleman of Clevelandurbannews.com and Kathywraycolemanonlinenewsblog.com, Ohio's Black digital news leader
By Kathy Wray Coleman, associate publisher, editor-in-chief
The president publicly announced the student loan forgiveness program, which is only applicable to federal student loans, late last month from the White House, saying "I made that commitment and I am honoring it today." He also extended the federal government’s pause on student loan repayments during the pandemic until the end of the year.
The long awaited initiative, which liberal critics say is hardly enough to address the country's student loan debt during a debilitating economy, would essentially cancel up to $10,000 of qualifying federal student loan debt and $20,000 for those who received pell grants. Also to qualify, an individual's annual income must be $125,000 or less with married couples capped at $250,000.
The initiative would instantly eliminate all outstanding federal student loans for up to 32% or 14.6 million borrowers who held less than $10,000 in debt as of the end of last month It will also erase at least half of the student loan debt held by the 20.5% of borrowers who owe between $10,000 and $20,000, and will serve to reduce $20,000 to $40,000 owed by another 21.4% of borrowers.
More than 40 million Americans are in student loan debt for seeking an education, owing a cumulative $1.7 trillion. But Republicans in Congress, fueled by conservative mainstream media pundits, say that Biden is fiscally irresponsible and too generous with taxpayer money, and that it is not the role of the federal government to forgive its high-price student loans with “handouts.” Republicans call the initiative "a $300 billion student loan bailout."