Elizabeth Warren Proposes Wiping Out Almost Everyone's Student Debt

[LovingA2andMI]

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Source: Huffington Post

"Last year, outstanding student debt in the U.S. topped $1.5 trillion, a growing financial burden that Warren argues is “crushing millions of families and acting as an anchor on our economy.”

“It’s reducing home ownership rates,” she wrote. “It’s leading fewer people to start businesses. It’s forcing students to drop out of school before getting a degree. It’s a problem for all of us.”

To address the problem, Warren is suggesting what she calls a “truly transformational” approach: wiping out $50,000 in student loan debt for anyone with a household income below $100,000. People with student loans and a household income between $100,000 and $250,000 would receive substantial relief as well. At that point, “the $50,000 cancellation amount phases out by $1 for every $3 in income above $100,000,” Warren wrote.

That means someone with a household income of $130,000 would get $40,000 of their loans wiped out. Someone with a household income of $160,000 would get $30,000 in relief.

People with household incomes above $250,000 would not be eligible for debt cancellation.

Under Warren’s proposed plan, up to 76 percent of households with student loan debt would receive “total loan forgiveness,” according to an economic analysis of the proposal by academics at Arizona State University, Brandeis University and the University of Tennessee, Knoxville. Ninety-five percent, or 42 million Americans, would be eligible to have at least some of their debt canceled."

Read more: https://www.huffpost.com/entry/elizabeth-warren-student-debt_n_5cbcd065e4b032e7ceb9b51b?utm_medium=facebook&ncid=fcbklnkushpmg00000047&utm_source=bv_fb&utm_campaign=hp_fb_pages&fbclid=IwAR0hPbqNhMD1pogTKk5w_2_0ylA0V6TMK3ahZga5rLzxA2lSU7kTnlHBO38

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She was the FIRST to call for the Impeachment of Idiot and now the FIRST to call for an reduction in Student Loan Debt for ALL-- and not just Free or Reduced Amount College which is great but does NOTHING to assist those with current Student Loan Debt (which is a sizable number).

This Second Look Candidate is nudging EVER SO CLOSE to our FIRST CHOICE CANDIDATE -- its inspiring! Go Elizabeth Warren!!!

[DonCoquixote]

1. reason number 1000

why warren is above everyone,more radical than bernie, more experience and prgamatioc then Kamala

[beachbum bob]

2. To me its better to prosose sweeping education and student loan reform. Make colleges and

universities have "skin in the game" when it comes to student loan debt. Clearing the books does nothing to rectify the situation where college education cost has grown faster than health cost at the expense of the taxpayers and easy student loan monies.

I don't like any type of "giveaways" generally speaking unless it solves some of the underlying issues

[LovingA2andMI]

6. Was President Obama's...

Home Affordable Refinance Program (HARP) a giveaway?

[olddad65]

3. I don't know how I feel about this.

I started saving for my son's college education shortly after he was born. He graduated from a major university a year ago, debt free. Almost feels like if this were to be enacted, I would feel like I was cheated out of over $100,000.

I would rather see a program of perhaps 2-4 years of public service in exchange for something like the GI Bill.

At the same time, I see how shackled some of my son's friends are by their student debt. How they worked hard for an education in a specific field, but have to take any job they can find to make their student debt payments.

I think I find this suggestion by Elizabeth Warren be to broad for me to support.

[LovingA2andMI]

7. It's Great....

You had $100K to pay for your child's education. Many don't and take on Student Loan Debt that they will never have totally repaid and will die with a debt owing to the Government of the United States.

That is not how America should work. Period!

[Justice]

13. but sacrificed a lot to get that $100k.

Same here. Saved and scrimped to get money. Do not believe total loan forgiveness is warranted. Just like don't believe in free college. Need to have some skin in the game.

My child worked very hard in college, did lots of internships to get experience- without pay or credit. Those internships helped get the first job in chosen field and the second (better) one.

Many friends of my child graduated without experience b/c no internships and have jobs outside their degree program. Didn't hustle for experience. Others have majors in fields that can hardly get a job in.

Mixed feelings about debt forgiveness.

[Igel]

21. I had loans.

Scrimped and saved in college to reduce them to a minimum. Did things in college that required time commitment but provided income. Had cheap apt. when friends had nice ones; ate poor while friends had a social life that included bars and restaurants; they paid for them largely with loan money.

Scrimped and saved after college to pay the loans off. They were smaller than my friends', but that wasn't an accident.

I paid them off; friends still have loans.

If loans get paid off after college, there's less incentive to take out the minimum, unless your loans exceed a certain amount.

[Cold War Spook]

4. Only for those who graduated.

I would like to see low-interest loans for college. If you graduate in 6 years or less, then your student loans would be canceled in part or in full depending on income. This would be another incentive to graduate. Same idea for trade schools.

[LovingA2andMI]

8. Great Counter Proposal!!

Thank you!

[ToxMarz]

5. I'm not completely familiar with her plan

but I paid off my student loans, do I get my money back?

[LovingA2andMI]

9. Then this would not apply to you....

Do you get a credit for a home purchase in a complete or partial refund when one pays off their Home Mortgage Payment? No....

We are talking a crisis similar to the 2008 Mortgage Crisis with Student Loans. Also, how did you feel when President Obama provided a path for Americans to stop losing their homes to the Mortgage Crisis? Just curious?

[ToxMarz]

12. They didn't pay off people mortgages and give them a free house

And I'm asking why this doesn't apply to me.

The mortgages had to be paid either through refinance or working with the lenders, otherwise they still lost their homes.

I'm not opposed to a solution to the student debt problem, just asking if this is fair to everyone (or if it even needs to be fair to everyone). If her plan can't stand up to any questions and be defensible then it probably isn't a good plan.

[LovingA2andMI]

19. Oh, We're Sorry....

Who said Free anything. We think individuals who attended college that are working to improve, advance or contribute to OUR AMERICAN SOCIETY should not have to have a Lock, Ball and Chain of College Debt just because they might make a little bit of less income than you obviously do!

Also, your comment sounds a bit 47% ish. Not sure what this is? Here you go....

“There are 47 percent of the people who will vote for the president no matter what…who are dependent upon government, who believe that they are victims. …These are people who pay no income tax. …and so my job is not to worry about those people. I’ll never convince them that they should take personal responsibility and care for their lives.”

—Mitt Romney, remarks at private fundraiser, Boca Raton, Fla., May 17"

https://www.motherjones.com/politics/2012/12/47-percent-remark-quote-year/

Glad Liz Warren does not take the Mitt Romney approach to Public Policy. Would this be your approach?

[Demobrat]

10. What about people who haven't started college yet?

How will this work for them? Will they take out loans expecting forgiveness? Will the govt just pay their tuition? Will college costs be lowered so they don't have to take out huge loans? How will that work?

[LovingA2andMI]

22. Reading the Article...

Addresses this...

[KT2000]

11. My neice worked hard

to repay her loan as did many others. I have mixed feelings about this.

[USALiberal]

17. I agree! Nt

[LovingA2andMI]

23. That's Excellent Your Relative....

Was able to repay her Loan. Many are not and work just as hard also. This is not about Whataboutism. It is about doing what is right by Millions of American's or a Majority as a Majority of individuals with the Ball and Chain of College Debt Forever would be open to such an proposal.

[More_Cowbell]

14. Maybe they could just stop the onerous collection fees and penalties

As the point of view of a borrower: In 1992 I consolidated a few thousand dollars that I had left in undergraduate loans and $34k in graduate school loans into a $39k loan.

Over the last 25+ years I've paid it off and on, mostly on, with two exceptions for lost jobs. Both times, I picked up payments again as soon as I got another job. Both times, the loan went into collections.

My balance right now, 27 years later: $34k. This is despite my paying over $25k in the last 4 years alone. In those last 4 years, the balance has actually gone UP $3k from where it was in 2015. This is because of collection fees (over $90 a month right now, although no one ever made any collection actions, because I just started repaying as soon as I got another job) and penalties and interest. This $90+ collection fee is despite the fact that they've never garnished my wages, never withheld a tax refund--they're allowed to impose it, so they do.

I've probably paid this loan 4 times over. It's listed on my credit report as "returned to the government for collection," although someone who looked closely would see that there's always a payment listed as paid in the prior month.

I definitely understand where people are coming from about this "giveaway." I just wanted to point out that the government has no incentive to stop its lending practices that would be illegal for a private company. Maybe something like this, even if it doesn't work, would shake them up a bit.

[LovingA2andMI]

25. Another Valid Counter Proposal!!

Thanks for making it.

[oldsoftie]

15. Maybe get kids (and PARENTS) to understand that the most expensive schools guarantee NOTHING.

The quicker people understand that the "prestige" doesnt mean you'll be a success, the better. When these high priced schools see their applications drop, they'll cut their ridiculous rates. The cost of college goes up faster than health care costs! Less than 10% of CEOs are Ivy League grads.

Not to mention the need for Tech School grads to fill well paying Tech jobs.

As for this deal, the govt has control over the loans, if they're "forgiven" then WE pay for them anyway

[LovingA2andMI]

26. Fair Point....

The Costs of the "Top Tier" Colleges rarely pan out with the exception of those connected. We do need a clear conversation regarding the Return on Investment in the Price of a College Degree in this Nation.

[SharonClark]

16. Not fair to those who save and plan

Some people sacrifice and save to put their kids through college and the students work as well.

Some people take long vacations, have the latest electronics, wear expensive sport shoes, and then plead poverty when it comes to their children's education. That leaves their kids in debt.

There has got to be a better way than total loan forgiveness.

[gtar100]

18. In defense of student loans, at least we have a lot of old white men are able

to work out during the day, go on multiple vacations each year and shit in nice bathrooms. It's a trade off that our youth should consider before accepting any money to pay off their student loans. Folks, we have to keep our priorities straight in this country.

[jmbar2]

20. Another concern

I'd like to see some sort of forgiveness program. However, I worry that it might encourage colleges to keep jacking up their tuition.

As it stands now, most college classes are being taught by low-paid adjuncts without any benefits or upward mobility. Some are so poor they sleep in their cars and have to go to food banks.

How can colleges justify such high tuition when they are essentially using slave labor, while funding millions for sports? Tuition reform should also include reducing tuition for colleges that spend an excessive amount on sports, and don't have any upward mobility for adjuncts.

Reform THAT broken system at the same time.

[LovingA2andMI]

28. Agreed!!!

Reform of the Adjunct System for Colleges to "Save a Buck" while jacking up the cost of tuition, must be addressed. Another great Counter Proposal and a Valid One! Thank you!

[3Hotdogs]

24. I think her attention should be on medical expenses instead of college debt.

We all, sooner or later, gonna get sick. We don't all gotta go to college.

AP news this afternoon -- medicare is gonna be broke in 2026.

[LovingA2andMI]

27. Her Concerns Are Both....

And Medicare will be around past 2026. Too many individuals depend on it.

[Yonnie3]

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