Growing Your Income

Biden cancels $20K in student loan debt: recap

Biden cancels $20K in student loan debt: recap

WASHINGTON – Millions of Americans saddled by student loan debt breathed a sigh of relief Wednesday.

Delivering on a key campaign promise, President Joe Biden announced he would cancel at least $10,000 in student loan debt for millions of borrowers, as well as $20,000 to Pell Grant recipients. The move comes months before the midterm elections, where Democrats are hoping to energize young voters.

Biden, who made the move using executive authority, said the cost of a college education has become exorbitant.

“That ticket has become too expensive for too many Americans,” Biden said during remarks from the White House’s Roosevelt Room. “The burden is so heavy that even if you graduate, you might not have the ticket that graduating college once offered.”

Biden held off making a final decision for months amid pressure from fellow Democrats, unions and other liberal groups pushing him to cancel at least $50,000 in student loan debt. His move to target $10,000 as a baseline mostly won praise from the left but also pushback from activists seeking more.