Biden Aims to Expand Access to Student-Loan Debt Forgiveness for Millions of People – WSJ

The Biden administration said it plans to make it easier for lower-income student-loan borrowers to get debt forgiveness through an existing program that has enrolled millions of people, but provided few with relief.

The move, announced by the Education Department on Tuesday, is part of a politically sensitive debate on the forgiveness of student-loan debt and attempts to more broadly overhaul how the student-loan repayment system works. President Biden earlier this month extended to Aug. 31 a pandemic-related pause on payments of federal student loans and faces pressure from progressive members of his own party to forgive debt on a larger scale.

The changes would apply to an income-based program for repaying student loans, allowing around 3.6 million people nearly 10% of all student-loan borrowers to receive at least three years of credit toward eventual debt forgiveness.

The program, referred to as income-driven repayment plans, permits borrowers to pay a certain percentage of their income on loans for 20 to 25 years and have the rest of their balances forgiven. Loan servicers play a key role in how borrowers navigate their repayment options.

via www.wsj.com

I think there should be some sort of relief for these ex-students. We overhype the value of a college degree, then sell them this often useless paper at ridiculously hopped up prices. The student loan industry is basically a massive legalized fraud against teenagers and their parents. It’s like selling time-shares to lottery winners or payday loans to recovering alcoholics. I’m sure its complicated. But at a minimum, you should be able to discharge your student loans in bankruptcy. That you cannot is beyond outrageous. Let students opt out of this if they wish.