Biden Announces $300B Plan To “Cancel” Federal Student Loan Debt

In a much anticipated (or dreaded) announcement, Biden has declared that he will “cancel” $10,000 of federal student loan debt for certain loan holders who make less than $125,000/year, and up to $20,000 for recipients of Pell Grants. He will also extend the previously implemented pause on federal student loan repayment through the end of this year.

Of course, the debt isn’t really being “cancelled.” That’s not really how this works. The debt doesn’t just magically disappear because Biden announces that it’s “cancelled.” The federal government is funded by the taxpayers. So if these debts are “cancelled,” all that means is that the students who took out the loans don’t have to pay back their own loans because the rest of the American taxpayers will pay off their loans for them. This will likely happen through inflation as the federal government covers these debts that they’re “cancelling” with taxpayer money they don’t actually have because they’re sending tens of billions of taxpayer dollars to Ukraine or funding diversity/equity/inclusion programs for anti-racist bridges or whatever. In order to cover the “cancelled” debt that will no longer be repaid by the debt holders, the federal government will metaphorically “print” more money, which will decrease the value of the American dollar, thus increasing the prices of all goods and services for every American.

Mind you, inflation is already at a historic high and the national debt currently sits at $30.7 trillion, according to the Treasury Department. Oh, and Biden is expected to announce ANOTHER $3 BILLION American taxpayer dollars to be sent to Ukraine for a proxy war.

I saved every cent I ever earned as a tween and teen before going to an affordable University where I worked academically to receive scholarships, as well as maintained constant employment during my schooling. I graduated with NO debt. My husband made similar choices and likewise graduated with no debt. Now we’ll be punished for our successful personal choices in order to cover for others who made irresponsible personal choices. Americans who never even went to college will be forced to pay the college debt of others in the form of inflation and the devaluation of their hard-earned money.

The estimated cost per taxpayer will be approximately $2,100. What could you do with $2,100 dollars if you weren’t spending it to pay off someone else’s anti-racist underwater basket weaving degree?

CHICKS ON THE RIGHT

Join the Conversation

2 comments

Share your perspective and reply to other readers.

Free account. You will stay on this page.

2 Comments

  1. ZapRowsdower Aug 24, 2022 at 3:00 pm

    Sweet! Time to not pay taxes anymore. Adjust my withholdings by my employer to zero and ignore tax time next year. How else will I be able to take advantage of this college loan forgiveness program if I’ve already paid my loans off?

  2. RandomImpulse Aug 24, 2022 at 1:43 pm

    Why is it that they will accuse every industry of price gouging except colleges who’s prices have blatantly skyrocketed while the value of a degree is every decreasing since supply is growing.