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  • $10k cancellation for those making less than $125k annually
  • $20k cancellation for Pell Grant recipients
  • Student loan pause extended until December 31st
  • 5% of monthly income cap on student loan payment (optional?)

Honestly pretty sick for me and my family. Wipes out my debt, my mom's debt, and most of my sister's. Wish we could've gotten more, since there's no good reason not to go to at least $50k, but from a selfish PoV it's hard to complain in the moment

  • HoChiMaxh [he/him]
    ·
    2 years ago

    What's funny is how strategically weak this is. For most people with student loans this won't affect their day-to-day at all, they'll still need paying their monthly payments. The emotional impact of having your loan wiped clean today rather than you'll be paying your loan off for three years rather than four is incomparable. For most people this won't actually change their lives until after the midterms or even potentially after his term is up entirely.

    At $50k he could have brought an army on non-voters online who all collectively experienced getting a $500-1000 a month raise. Instead a few people actually wipe their debts and he has this albatross around his neck to defend during record inflation.

    Don't get me wrong this is objectively good, but he just can't help himself to not to the entire good thing even if it would help him politically.

    • RION [she/her]
      hexagon
      ·
      2 years ago

      Excuse me that would be populism and doing things that people like is bad because uh trump

      • SacredExcrement [any, comrade/them]
        ·
        2 years ago

        You joke, but a lot of liberals think that politics always has to result in a hackneyed compromise policy that everyone loathes. Anything unilateral would be abusing their power or would prevent conservatives from working with them down the road, which...lmao.

        • RION [she/her]
          hexagon
          ·
          2 years ago

          Throwback to Greta Thunberg who, upon being asked what she would have Biden do if she were given a blank check, responded that she wouldn't have him do anything because that would be undemocratic.

          Yes, the planet is a derelict lump of superheated ash, but for a beautiful moment in time we created a lot of rules based order for our liberal democracies!

    • CanYouFeelItMrKrabs [any, he/him]
      ·
      2 years ago

      Loans are paused and the pause is extended to December. Most people aren't making monthly payments just now. Technically even a full cancellation wouldn't affect my day to day since I'm not paying

      • HoChiMaxh [he/him]
        ·
        2 years ago

        That's interesting, I don't live i the US I assumed pausing loans was just an optional thing people could opt into if they had trouble with funds.

        • CanYouFeelItMrKrabs [any, he/him]
          ·
          2 years ago

          Has been been paused since the beginning of the Pandemic. Each time the deadline came up either Trump or Biden has delayed it. Now the Sept deadline is moved to December

          • HoChiMaxh [he/him]
            ·
            edit-2
            2 years ago

            Aren't most people who aren't struggling financially still making payments though?

            Edit: Oh I get it due to inflation it's better to bank that money and then put it toward payments after the freeze.

            • spectre [he/him]
              ·
              2 years ago

              Yes, and the interest is frozen too so it's basically free money as long as you don't have to pay

        • AmericaDelendeEst [any]
          ·
          edit-2
          2 years ago

          You can go into deferment (and only under specific conditions for a certain time) but the interest still accrues, hooray

      • jabrd [he/him]
        ·
        2 years ago

        For many Americans Joe Biden will be the reason they’re forced to make their first student loan payments

      • DrunkUncle [none/use name]
        ·
        2 years ago

        It would effect your credit score. I could maybe get a mortgage if they wiped out all of my student loans

        • CanYouFeelItMrKrabs [any, he/him]
          ·
          2 years ago

          During the pause it does not affect your credit score. I haven't been missing payments, I haven't had payments to pay.

        • WafflesTasteGood [he/him]
          ·
          2 years ago

          Funny thing, this will probably actually hurt my already shitty credit. The average age of accounts will drop significantly when my student loans are gone.

    • thoro [none/use name]
      ·
      2 years ago

      This is exactly what I was telling people. Like yeah this is definitely better for me, but my life doesn't really change because I still have significant debt and payments to make.

      They can't help but do half measures.

    • gueybana [any]
      ·
      edit-2
      2 years ago

      people with student loans this won’t affect their day-to-day at all, they’ll still need paying their monthly payments.

      Every loan has a period of payment. If total loan amounts are reduced, the monthly payments are reduced.

      if you don’t live in the US how can you say you’re informed enough to deem this not good?

      • HoChiMaxh [he/him]
        ·
        2 years ago

        That's only if you're making the minimum payments, no?

        I'm not sure what special powers living in the US would grant me. Also I did say it's objectively good.

        • gueybana [any]
          ·
          2 years ago

          That’s only if you’re making the minimum payments, no?

          Not sure I follow you here.

          I’m not sure what special powers living in the US would grant me. Also I did say it’s objectively good.

          Have you taken out student loans? Have you taken student loans from the US federal government? This would kind of help in making an observation about the logistics of loan payments.

      • AmericaDelendeEst [any]
        ·
        2 years ago

        Oh wowie slightly reduced payments on my still exorbitant debt I'm so happy thank you lord Biden

        What is this

        • gueybana [any]
          ·
          2 years ago

          yes this means that im blue dog dem, i love biden pls let me suck on ur cock presidente

      • JoeByeThen [he/him, they/them]
        ·
        2 years ago

        Lathe time: Given that you have to apply for it, I can already see this being done in some sort of refinance package that still fucks everyone over.

    • berrytopylus [she/her,they/them]
      ·
      2 years ago

      From my understanding this apparently covers about half of the population with student loans? I don't think that's "most people won't notice" levels then.