Biden slams GOP criticism of student loan debt forgiveness

U.S. President Joe Biden speaks about the administration’s plans to forgive federal student loan debt during remarks in the Roosevelt Room of the White House in Washington, U.S., on August 24, 2022.

Leah Millis | Reuters

President Joe Biden He slammed congressional Republicans who criticized student loan forgiveness after tax cuts for the wealthy.

“I will never apologize for helping America’s middle class — especially not the same people who voted for a $2 trillion tax cut for the rich and big corporations that inflated the deficit,” the president said. tweeted from his official @POTUS account Thursday.

Biden announced one of the most influential policy decisions of his presidency on Wednesday Cancellation of up to $10,000 in federal student loan debt For borrowers earning under $125,000 a year or $250,000 for married couples or heads of household. Pell Grant recipients can write off up to $20,000 in debt.

The Loan relief is limited According to the Department of Education, the amount of outstanding debt owed by the borrower.

Some congressional Republicans immediately sought to undermine Biden’s debt relief plan. House Minority Leader Kevin McCarthy, R-Calif., called it a “serious agenda.”

“Biden’s loan transfer scam will make inflation worse and do nothing to stop the runaway cost of college for most families,” McCarthy tweeted Wednesday. “Americans can’t stand the Democrats’ extreme agenda.”

Rep. Marjorie Taylor Green called the loan forgiveness policy “unfair” in an interview with the conservative news network, Newsmax TV.

“Taxpayers across the country … have racked up huge, huge student loan debt for some college students they don’t have to pay, some going to an Ivy League school,” Green said. The Georgia Republican added that Biden’s debt forgiveness policy is a plan to bring in Democratic votes during the November midterm elections.

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But public records show that Greene was a beneficiary of loan forgiveness in the early months of the pandemic. A $182,200 PPP loan to Greene’s company, Taylor Commercial Inc., was forgiven with accrued interest in April 2020. Records maintained by ProPublica.

The wealthiest Americans benefited from a nearly $2 trillion tax loophole after the former president Donald Trump Signed Tax Cuts and Jobs Act — passed by the Republican-controlled Congress — became law in 2017. Three-quarters of the benefit of the tax cuts outlined in the law would go to the top 1% of income earners, according to an analysis by the Tax Foundation.

Biden’s debt forgiveness policy is planned It will cost the federal government about $244 billion, according to higher education expert Mark Kantrowitz. Amnesty for Pell Grant recipients would cost another $120 billion.

The loan waiver scheme has also been extended Suspension of student loan repayments Till December 31, 2022.

More than 40 million Americans $1.7 trillion in student loan debt.

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