Biden Says 22 Million Americans Have Applied for Student Loan Debt Relief – CNN
Biden Calls For New Student Loan Bailout
Vice President Joseph Biden on Wednesday touted a new loan forgiveness program he supports as part of his push to help students make ends meet — and the system he endorsed is at the center of the controversy over private loans going to students of color without their consent.
“I would like to tell you that under my plan, up to 90 percent of borrowers, up to 22 million borrowers, will no longer be saddled with debt, and most of them will finally be able to pay it off, and that’s going to be important for black students, for Hispanic students, for Native American students, for students of every racial and ethnic background,” Biden said in a speech at the University of Delaware in Newark.
The program, called the Debt Relief Alternative and Direct Loan Program, would offer up to $50,000 in loan forgiveness for undergraduates who took out private student loans, while expanding the program to forgive private loans for graduate students.
The program would also pay for college for students whose loans have been discharged, or have been wiped clean of their remaining debt by bankruptcy.
In the speech, Biden also talked about the need for an ambitious education budget, which he said he would propose next week.
“Today, I am addressing another important issue that is critical to the future of our country — the issue of education,” Biden said. “It is my plan that will give every child the opportunity to achieve a world class education that they deserve. And it is the plan we must have to help the children of our poor, of our working class, of our immigrants, who often have been overlooked and underserved. With today’s education budget, we will ensure all children have access to a world class education — regardless of their zip code. With a budget like this, all children will have chance to pursue the American Dream. That’s what it means to be an American.”
The debt relief program comes on the heels of a plan Biden released in December that would give relief to thousands of students with loans discharged through bankruptcy, in addition to offering $25,000 in forgivable student loans for students whose loans have been wiped clean.
In addition to calling on Congress to boost education funding, Biden said he is looking at ways to make a new deal with student loan servicers to let them collect more compensation.