In a White House announcement, the president will cancel $3.9 billion in student loans, allowing ITT Technical Institute graduates to receive refunds from their creditors.
Student Loan forgiveness is finally coming to fruition and this time in a big way
The Western Journal Reports. The federal government will discharge all remaining federal student loans for students attending ITT Technical Institute under President Joe Biden’s announcement, announcing the cancellation of $3.9 billion in student loans.
According to Forbes, student loan borrowers who attended the now-defunct institute will receive a discharge through the “borrower defense to repayment” and do not need to apply to cancel their loans.
Dr. Miguel Cardona, Secretary of Education, said, “It is time for student borrowers to stop shouldering the burden from ITT’s years of lies and false promises. The evidence shows that for years, ITT’s leaders intentionally misled students about the quality of their programs in order to profit off federal student loan programs, with no regard for the hardship this would cause.”
Recently, AOC addressed this issue in the house.
ITT Technical Institute was a well-known private technical institute based in Indiana with approximately 140 satellite campuses nationwide. On Sept. 6, 2016, ITT announced that it would “permanently cease academic operations at all of its ITT Technical Institutes”.
Meanwhile, Democrats continue to press Biden to “#CancelStudentDebt”, a move conservatives argue would obscure the transfer of debt from borrowers to taxpayers.
Democratic Rep. Pramila Jaypal of Washington urged Biden to cancel all student debt
Rep. Cori Bush of Missouri joined the chorus, saying, “Right now, millions of people are living in limbo, unsure if student loan payments will resume in 16 days. Canceling student debt would provide immense relief to numerous borrowers.”
In contrast, Republicans have heavily criticized the forgiveness of student loans. Foxx and Sen. Richard Burr, also of North Carolina, wrote in an Op-Ed for Fox News: “By caving to progressives, President Biden is breaking his promise to over 100 million taxpayers without student debt.”
According to Fox News. Using Americans’ pockets, the Biden administration is once again trying to save its tanking poll numbers.
This move by the President may do more harm than good, but only time will tell. But it’s clear what’s going on. In order to shore up support before the midterms, Biden starts handing our checks so that he can claim he fulfilled a campaign promise. The American people are smarter than that.