this post was submitted on 25 Oct 2024
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The Biden administration is moving ahead with a new path to student loan cancellation for Americans who face steep medical bills, child care costs and other types of financial hardship that prevent them from repaying their loans.

Announced Friday, the proposed rule is President Joe Biden's third attempt at student loan cancellation as he faces repeated legal challenges from Republican states. His first plan was rejected by the Supreme Court last year, and his second plan has been temporarily halted by a federal judge in Missouri.

The new rule would have to clear a number of hurdles before it becomes official, and it's unclear if it could be realized before Biden leaves office in three months. Like Biden's other loan forgiveness proposals, it could face court challenges from conservatives who say it's unconstitutional and unfair.

If finalized, the new rule would allow the Education Department to proactively cancel loans for borrowers if the agency determines they have an 80% chance of being in default on their loans within two years. Others could apply for a review to determine if they meet the criteria for cancellation.

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[–] FlyingSquid 53 points 1 month ago (19 children)

In before "he's only doing it because of the election" as if that somehow makes it a bad thing.

[–] BenReilly97 31 points 1 month ago (2 children)

And as if he hasn't been doing this throughout his entire term as president.

[–] bamfic 1 points 1 month ago

Or as if they all don't, and that's not how the whole system is designed to run

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[–] ChilledPeppers 8 points 1 month ago (2 children)

Im not even american, but the FTC and Joe seem a lot cooler these past few months

[–] [email protected] 14 points 1 month ago (1 children)

That's all Lina Khan. A diamond in the rough

[–] [email protected] 5 points 1 month ago

Well, she's rough on the baddies, but she seems polished and sparkly to me.

[–] FlyingSquid 3 points 1 month ago

I couldn't care less if people do the right thing for the wrong reason and I have never understood why anyone does.

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[–] bazus1 45 points 1 month ago (5 children)

I benefited from a federal loan cancellation due to hardship this past March. 35k in Staffords - poof. It was amazing.

[–] FlyingSquid 18 points 1 month ago

How dare you benefit from it when other people aren't! You're required to suffer because other people didn't get theirs. And if they did get theirs, you're required to suffer anyway because you weren't good enough.

I think that's how it's supposed to work anyway.

[–] [email protected] 16 points 1 month ago

I'll have you know I toughened up, pulled myself up by the bootstraps, and paid off a $25k loan over the span of eight or so years

...and I'm still glad people are getting loan forgiveness because I don't want other people to have to go through the BS I did. Congrats!

[–] eluminx 5 points 1 month ago (1 children)

That's awesome! my wife didn't qualify unfortunately (lucky it's not a big amount of money) but I'm glad there are people who do and they are getting what they deserve. This should help so many out there that are in a tough position. This is what tax money should be used for, along with infrastructure, medieval bills, education, and any other thing that benefits us as a whole.

[–] PrincessTardigrade 2 points 1 month ago

Oof, our tax money is definitely funding a lot of medieval bills :(

[–] LifeInMultipleChoice 4 points 1 month ago

Wicked! I'm glad some people are benefitting from it.

[–] doingthestuff 1 points 1 month ago (1 children)

I'm curious, what was your degree? Have you found work in your field at all?

[–] bazus1 1 points 1 month ago

Graduated >10 years ago with an engineering degree, and worked in an industry that was nailed really hard by Covid. The career was… pretty close to my field, but accepted many different engineering degrees.

[–] SupraMario 41 points 1 month ago (9 children)

He needs to go further and stop the loans all together and force these mega schools to go free if they're state run colleges. It's bullshit that these schools are fed federal/state money and then continue to paywall education for everyone.

[–] Fredselfish 0 points 1 month ago (1 children)

I'm financial hardship is he going forgive my loans?

[–] humorlessrepost 3 points 1 month ago

Hi financial hardship, I’m dad!

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[–] xenoclast 13 points 1 month ago (1 children)

Can't wait for it to be blocked by Republicans so they can say he didn't do anything.

Or take credit for any potential benefits by claiming it was their idea and they did all the work.

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[–] [email protected] 2 points 1 month ago

Declare a national emergency and do it.

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