The Washington Post, citing three sources, said President Joe Biden is preparing to announce his plan to forgive up to $10,000 of student loans for those who qualify based on their income.
According to Nation World News, White House staff are preparing the draft but await the president’s decision.
According to the Post, the policy is expected to come with strings attached, which only apply to people earning less than $150,000. Nation World News reports that the income cap could be as low as $125,000.
Biden, who is due to speak at the University of Delaware on Saturday, was expected to announce his plan during the speech, but the shooting in Uvalde, Texas, which killed 19 students and two teachers on Tuesday, meant that administration Had to change course. Post a report.
“No decision has been taken yet,” White House spokesman Vedanta Patel said in a statement to the newspaper on Thursday. HuffPost has contacted the White House for comment.
But some progressive Democrats are getting impatient.
“The longer the administration waits – apparently because they are figuring out how many people to take out of the cancellation program – the less appreciative people are going to be, as they continue to struggle this whole time. ,” Rep. Mondaire Jones (DN Y.) told Nation World News.
An additional challenge facing the administration are the inflationary pressures that American households are dealing with, and concerns that any action on student loan forgiveness could add to this amid concerns about a potential US recession.
In April, Biden said the White House was weeks away from announcing its action plan on student loans.
“I’m looking at tackling some debt reduction. I’m not looking at $50,000 of debt reduction.” next few weeks.”
The $10,000 figure reported by the Post is in line with Biden’s campaign in 2020, but still significantly lower than that of many Democratic lawmakers.
“I’m going to make sure everyone gets $10,000 out of their student loans,” Biden said at a town hall in Miami in October 2020.
The Biden administration has put student loan payments on hold until August 31, continuing a policy that was first introduced at the start of the pandemic.