These days, there’s quite a bit of talk about student loans in the United States and the need to “forgive” these loans.
Yet, the issue is there’s no way for student loan debt to simply vanish without being paid. This means that if individuals are absolved of the student loans they agreed to take out, the burden will be passed along to other taxpayers.
Much of the country has argued that individuals who willingly took out student loans need to pay them back on their own. This, after all, is what they agreed to when borrowing the funds from the government, to begin with.
Now, a watchdog organization is coming out against the Biden administration’s support for student loan forgiveness, as documented by Newsmax.
Poor Timing For the United States
Earlier this week, the Committee for a Responsible Federal Budget warned that cancelling student loan debt will ultimately work against efforts to bring down inflation.
This follows news of the Education Department agreeing to waive billions in student loan debt for young people attending ITT Technical Institute.
Biden is going to give us the bare minimum with student loans, help a teeny fraction of people, then tout it as it being the biggest thing ever done for student loans and there will be zero pushback.
How do we teach people that the bare minimum is in effect the same as nothing?
— Imani Oakley (@ImaniOakleyNJ10) August 16, 2022
More information from the Committee for a Responsible Federal Budget warns that anywhere from billions to hundreds of billions of dollars will be incurred from student loan debt forgiveness.
The difference between billions vs. hundreds of billions naturally depends on the amount of loan debt being cancelled to start with. Either way, it will further set the economy back and raise the financial burden that US taxpayers are facing in real time.
The Other Elephant in the Room
Due to the United States currently working its way through a recession, the plan to cancel student loan debt arrives at a deeply inopportune time. Democrats have already passed a billion-dollar spending bill that’s not going to bring down costs or prices by any means.
Now, the country is forced to contend with even more efforts that will lead to additional spending and more taxation.
This will undoubtedly worsen the current recession, making job loss and furloughs a reality for a growing number of Americans nationwide.
Joe doing a lot of money giveaways and bill signings but not doing anything for our student loans like sir…nobody is paying this shit back. Inflation has us on the brink of homelessness. Figure it out.
— moonchild🌙 (@ohthatsalesha) August 17, 2022
Naturally, the Biden administration has not responded to the details laid out by the Committee for a Responsible Federal Budget. Then again, this administration has never once let any kind of warnings or fiscal responsibility get in the way of its spending.
Today, many Americans who attended college have subsequently paid off their student loans without any sort of “forgiveness” from the government. Therefore, it raises questions of fairness in regards to some people paying off their loans vs. others getting a free ride when it’s expedient.
What do you think of this watchdog organization warning against student loan debt forgiveness? In the comments area, please share your thoughts with us.
This article appeared in New Vision News and has been published here with permission.