Biden will ask Congress to forgive $10,000 in student debt for all borrowers

Biden will ask Congress to forgive $10,000 in student debt for all borrowers

After having admitted on Thursday, for the first time in his own words, that President-elect Joe Biden’s administration would take charge on Jan. 20, Trump announced today that he will not be attending the inauguration. Meanwhile, Biden is already calling on Congress to pass the student loan forgiveness he has promised. What is the chance of this happening?

According to CNBC, President-elect Joe Biden will ask Congress to immediately cancel $10,000 in student debt for all borrowers and to extend the payment pause that is set to expire this month.

The $900 billion stimulus package passed in December didn’t include an extension of the payment pause for h, and the pandemic has left many borrowers unable to make their payments.

During his presidential campaign, Biden promised student loan forgiveness.

Biden, however, is facing growing pressure to cancel more of the debt and to bypass Congress to do so by Senate top Democrat Chuck Schumer who has asked him Biden to forgive $50,000 per borrower, and Senator Elizabeth Warren who described student debt forgiveness as “the single most effective economic stimulus that is available through executive action.”

“All you need is the flick of a pen,” Schumer said in December. “You don’t need Congress.”

Chuck Schumer is putting pressure on Biden to forgive borrowers $50,000

However, not all Democrats may be on board for student debt forgiveness and even if they were, usually 60 votes are required. It will be hard to get nine Republicans to support the measure.

It remains unknown for how long the payment pause will be extended by Biden and what amount of money will be forgiven to borrowers if the legislation passes.

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