WEST MONROE, La. (KTVE/KARD) — On Wednesday, August 25th, President Joe Biden announced the federal government would forgive $10,000 in student loan debt for individuals who make $125,000 or less. For those who have Pell Grants, $20,000 in student loan debt will be canceled.
According to Grambling State University’s Department of Economics Associate Professor Mahmoud Haj
says “Those that will get loan forgiveness will benefit from improvement on their credit score and will have money to spend on other things especially with inflation.”
Students from Grambling State University shared their perspective that student loan forgiveness is financial relief for them.
Junior, History major Jordan Braithwaite says “Once I saw Joe Biden’s announcement, I definitely think that it’s a step in the right direction.”
Senior, Biology major Vanderbilt Thompson says he’s working on his second degree and adds with the student loan relief he feels better knowing his debt won’t be so high after graduation. “This is going to not only benefit me in the long run, especially when you know when it comes to them wanting to call six months later after I graduated. I can work with you know about 3000 and 35,000 I can work with 15,000 in the first five years, says Thompson.”
Junior, Mass Communications major Madison Johnson says “That financial relief now is really good because that’s something you could take off of students back I don’t have to worry about that right now and then eventually once we get into adulthood and then we start beginning to our careers and we can do that higher tax bra we could handle those taxes better when once we get ourselves settled but right now we can really focus on our education because that’s first before most on.”
Biden said that the administration’s “targeted actions are for families that need it the most: working and middle-class people hit especially hard during the pandemic making under $125,000 a year,” highlighting that “about 90% of the eligible beneficiaries make under $75,000.”
“I understand not everything I’m announcing is going to make everybody happy,” Biden said. “Some think it’s too much. I find it interesting how some of my Republican friends who voted for those tax cuts think we shouldn’t be helping these folks. Some think it’s too little, but I believe my plan is responsible and fair. It focuses on the benefit of middle-class and working families, it helps both current and future borrowers and it’ll fix a badly broken system, President Biden.”