Biden doesn't want to give student loan relief to kids who went to private schools?

[crimycarny]

I hope this was just a poorly worded statement:

“ In reference to student loan cancellation, Biden said “it depends whether or not you went to a private or public university.” Specifically, Biden referred to potential student loan cancellation at schools like “Harvard and Yale and [the University of Pennsylvania]”

My daughter worked her *ss off and got into Stanford. We’re in that dreaded income range that it’s towards upper middle class so we’re always barely above the income cutoff for stimulus, etc. We live in a very expensive state (CA) and we have 3 kids we’re helping put through school. All three had to take out loans and we’re dipping into our savings. But because my kid got into Stanford by busting her butt she will be penalized? That isn’t right. Not every kid that got into a private school is high income. Wow.

https://www.forbes.com/sites/zackfriedman/2021/02/17/what-biden-actually-said-about-student-loan-cancellation/?sh=51fa2bfb2751

[USALiberal]

1. I am fine with that. Nt

[DemocracyWins]

2. People shouldn't get a get out of jail free card for poor choices.

Sorry but I agree if this is the case.

[crimycarny]

8. What defines a poor choice?

Are poor choices based on money alone? Let’s say your dream is to work for NASA and you get accepted to MIT? It would be considered a poor choice to go to MIT and a better choice to turn it down because it might cost you more? Many factors go into choices to decide if they are poor choices or good choices.

I’m not talking about forgiveness for $50,000 of debt, I personally think that’s too high, but $10,000 seems reasonable (obviously based on things like income).

[Demsrule86]

13. Clearly going to Stanford gives her an advantage over someone who went to state college...

She should make good money.

[rzemanfl]

3. There's one thing here I always read. Have a good evening. n/t

[enough]

4. Maybe they're thinking that high achieving kids often make a choice to

go into debt at high prestige schools when they could go to “state” schools and get a good education without racking up debt?

[FBaggins]

5. How about something more recent than a couple months ago?

That article was based on an answer in a town-hall-type setting that was less than clear. There have been a number of changes to the discussed options since then.

It's obvious that he's saying that he isn't interested in forgiving large amounts of debt for those who went to elite colleges and have both families with significant incomes and likely have significant future earning power themselves.

It is less obvious that he's talking about the many millions of students who attend other private universities. It's more likely that he misspoke and intended to draw a distinction between those federal loans that he has some ability to adjust - vs. the private loans that he can't possibly do anything about. The loans that make up very large portions of most private school college debt.

[crimycarny]

6. It was posted on Yahoo today

For some reason this made the Yahoo newsfeed today. I should have checked the date more carefully. It just seems odd that school choice would disqualify someone from student loan debt. We’ve all read stories of low income kids who worked hard and got into an Ivy League school. Why would the be punished? They may have received financial aid but it’s often not enough to cover other costs.

Well, I hope he just misspoke. I agree with not forgiving debt for those kids with wealthy parents who can easily afford elite private universities. In all three of my kids cases they have Federal Loans. Two of mine also worked part-time while attending college full-time.

[NH Ethylene]

7. No that isn't right.

My daughter was accepted at a prestigious (private) school, and she received a financial aid package which wound up making it cheaper to go there than our state university!

Her loans were paid off long ago, but it bothers me that kids like her could get penalized for qualifying for a top school with grants and scholarships that make it more affordable.

[crimycarny]

9. Agree!

My daughter got financial aid as well and though it was a bit more expensive than UC’s, it wasn’t such a big gap as to turn down the opportunity. She had to work EXTREMELY hard to get the sort of GPA that would get her in the door. I would hate her to be punished just because she had to take out a little more in student debt.

All of that being said I wanted all three of my kids to have some skin in the game. A bit of student debt isn’t necessarily a bad thing as it can help them to learn how to be fiscally responsible (and build up their credit. But to be refused help based on the type of school alone just seems wrong.

[MichMan]

11. Are they financially not capable of paying them back ?

[MasonDreams]

10. At the end if the day...

Our society doesn't value anything but money and power, the power to destroy faster to make more money.

Education is the only cure for this disease.

We need to divert resources to enable our children to create a planet where we can breathe and drink. Earth First Mars Later.

[Wingus Dingus]

12. I think the whole idea of loan forgiveness is stupid.

Make the loans zero interest or allow lenient repayment terms according to income, or cap the number of years/amount of repayment for people who meet income standards or have other qualifying difficult life circumstances going on, that sort of thing. But a giant cash lottery doesn't make college more affordable, it's just a random reward and money out of the sky to people who knowingly and willingly INVESTED in a college education (they're already life's winners, by the way). It's like someone forgiving my mortgage, because "houses are expensive!!" Does nothing except make me wealthier at the expense of others.

[NH Ethylene]

14. There really is a big problem with college grads facing lifelong debt.

And not being able to keep up the steep payments. It should be addressed. But forgiving student loans might not be the best approach. I'd like to see the old Pell Grants beefed up (if they even exist anymore) so low-income kids can afford to go to college without taking out such huge loans.

[crimycarny]

15. I'd support zero interest

I’m fine with zero interest versus a blanket loan forgiveness, that alone would help quite a bit. Right now the interest rates are like 5%, which can add up to quite a bit over time.

[MichMan]

16. Interest rates on student loans were part of the ACA

I would like to hear an explanation why heath care was paid for on the backs of students.