As Paul Harvey once said
Just when Biden makes his announcement is not clear, so….
President Biden will announce a decision on Wednesday about his plans for student loan debt relief, a highly anticipated moment that could affect about 45 million borrowers nationwide, according to people familiar with the matter.
Although details of the plan were still being finalized, White House aides have said Mr. Biden was weighing a targeted plan that would provide $10,000 of debt relief for borrowers who make below a certain level of income.
Mr. Biden also is expected to extend a pause on loan payments for all borrowers, a Trump-era program that has been in effect since the start of the pandemic.
Driving the news: White House officials have told congressional allies that the president plans to cancel $10,000 in debt for many Americans, with an announcement expected today, according to people familiar with the matter.
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- Officials also expect Biden to extend the moratorium on loan repayments, which then-President Trump paused in 2020 in response to the COVID-19 pandemic, until the end of the year.
- Congressional elections are ten weeks away, and Biden is looking to motivate young, progressive voters.
- Senate Majority Leader Chuck Schumer spoke with Biden Tuesday night and urged him to cancel as much student loan debt as he can, according to a Democrat familiar with the call.
- White House officials declined to comment on Biden’s plans before he announces them.
If it survives legal challenges that are almost certain to come, Biden’s plan could offer a windfall to a swath of the nation in the run-up to this fall’s midterm elections. More than 43 million owe a combined $1.6 trillion in federal student debt, with almost a third owing less than $10,000, according to federal data.
Still, the action is unlikely to thrill any of the factions that have been jostling for influence as Biden weighs how much to cancel and for whom.
So it’s wait and see.
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