President Biden "Forgivs" School Debts

PPP loans forgiven

Notables but not an exhaustive list

Matt Gaetz - 476,000
Marjorie Green - 180,000
Vern Bachman - 2,800,000
Kevin Hern - 1,070,000
Roger Williams - 1,430,000
Brett Guthrie - 4,300,000
Mike Kelly - 974,1000
Markwayne Mullin - 988,700
Carol Miller - 3,100,000

Members of the “If you take out a loan, the govt shouldn’t pay it for you” crowd. This is the ultimate in pork.

That people are hypocrites does not negate the principle we are discussing.

Of course it does. It’s your belief that the govt shouldn’t forgive loans because people should not take loans and don’t pay them. The exact people out there railing publicly against student loan forgiveness took advantage of forgiveness in order of magnitude greater amounts than anyone getting 10-20K. Further, I don’t recall any of you “anti-student loan forgiveness” folks typing post after post that PPP loans shouldn’t be forgiven.

If you did, I’m sure you can find a reference post to prove otherwise. If you’re only against the govt forgiving these loans but not PPP loans, you too are the hypocrites.

as questionable as the ppp loan forgiveness was

especially the fraud involved because government is inept

at least it was a law passed by congress

unlike the unconstitutional edict of biden's

and the other thing:

it reinforces of false notion of the beneficence of socialism that many of these students were taught by evil professors

That people are hypocrites does not negate the principle we are discussing. Originally Posted by ICU 812

It begs the question as to why these folks weren't bashed at the time....or even now. In fact especially now if they are in fact bitching about 10k when they took millions.

But you are correct, they all should have to pay it back....I know so many you got large amounts of PPP that they didn't need.

as questionable as the ppp loan forgiveness was

especially the fraud involved because government is inept

at least it was a law passed by congress

unlike the unconstitutional edict of biden's

and the other thing:

it reinforces of false notion of the beneficence of socialism that many of these students were taught by evil professors Originally Posted by nevergaveitathought

Socialism Luke gow we pay for their garde 1-12?

I haven't any kids but boy have I paid into that Socialism of educating a bunch of our posters!

PPP loans forgiven...

Members of the “If you take out a loan, the govt shouldn’t pay it for you” crowd. This is the ultimate in pork. Originally Posted by 1blackman1

I don’t recall any of you “anti-student loan forgiveness” folks typing post after post that PPP loans shouldn’t be forgiven.

If you’re only against the govt forgiving these loans but not PPP loans, you too are the hypocrites. Originally Posted by 1blackman1

Wrong. You're comparing apples and oranges. My understanding is that in order for PPP loans to be converted into grants that did not have to be repaid, the borrowers had to prove they spent 70% of the money on payroll. The purpose was to avoid massive layoffs during the pandemic. Borrowers knew what the terms were when they applied. Many of them thought they were getting a handout to keep their workers on the job, rather than taking on additional business debt, which they were reluctant to do at a time when sales/revenues were plunging and nobody knew how long the pandemic shutdowns would last.

By contrast, Biden's forgiveness of student loans is just a reckless, sweeping and nakedly irresponsible abuse of the public fisc. It's not linked to any defensible economic goal. It's purely linked to the crass political purpose of buying upper-class votes at taxpayer expense.

And I'm a big critic of the PPP program. It was weakly administered and riddled with fraud. But you're wrong to compare it to the student loan program.

Wrong. You're comparing apples and oranges. My understanding is that in order for PPP loans to be converted into grants that did not have to be repaid, the borrowers had to prove they spent 70% of the money on payroll. The purpose was to avoid massive layoffs during the pandemic. Borrowers knew these were the terms when they applied. Many of them thought they were getting a handout to keep their workers on the job, rather than taking on business debt at a time when their sales/revenues were plunging.

By contrast, Biden's forgiveness of student loans is a reckless, sweeping and irresponsible abuse of the public fisc. It's not linked to any defensible economic goal. It's purely linked to the crass political purpose of buying upper-class votes at taxpayer expense.

I'm a big critic of the PPP program too. It was weakly administered and riddled with fraud. But you're wrong to compare it to the student loan program. Originally Posted by lustylad

And you are wrong because Trump's PPP "loans" had little to no oversight.

It in fact incentivised Banks to get these loans for companies that did not even need them because if memory serves me... the banks got a 5% enrollment fee!

So they are both shithole policy.

Just as mailing out 2k checks or whatever it was you got. People that cashed those checks or took PPP money need to sit down and shut their whore mouth(s) about this loan forgiveness.

Wrong. You're comparing apples and oranges. My understanding is that in order for PPP loans to be converted into grants that did not have to be repaid, the borrowers had to prove they spent 70% of the money on payroll. The purpose was to avoid massive layoffs during the pandemic.

By contrast, Biden's forgiveness of student loans is just a reckless, sweeping and nakedly irresponsible abuse of the public fisc.

And I'm a big critic of the PPP program. It was weakly administered and riddled with fraud. But you're wrong to compare it to the student loan program. Originally Posted by lustylad

exactly correct as usual

Biden’s Half-Trillion-Dollar Student-Loan Forgiveness Coup

His student-loan write-off is an abuse of power that favors college grads at the expense of plumbers and FedEx drivers.

By The Editorial Board
Updated Aug. 25, 2022 10:01 am ET


Well, he did it. Waving his baronial wand, President Biden on Wednesday canceled student debt for some 40 million borrowers on no authority but his own. This is easily the worst domestic decision of his Presidency and makes chumps of Congress and every American who repaid loans or didn’t go to college.

The President who never says no to the left did their bidding again with this act of executive law-making, er, breaking. The government will cancel $10,000 for borrowers making less than $125,000 a year and $20,000 for those who received Pell grants. The Administration estimates that about 27 million will be eligible for up to $20,000 in forgiveness, and some 20 million will see their balances erased.

But there’s much more. Mr. Biden is also extending loan forbearance for another four months even as unemployment among college grads is at a near record low 2%. Congress’s Cares Act deferred payments and waived interest through September 2020, but Donald Trump and Joe Biden have extended the pause for what will now be nearly three years.

The Administration is claiming, again, that this will be the last extension and is needed to help borrowers prepare to resume payments. But even if the Administration lets the forbearance end in December, about half of borrowers won’t have to make payments since their debt will be canceled.

Most of the rest will only make de minimis payments because Mr. Biden is also sweetening the income-based repayment plans that Barack Obama expanded by fiat. Borrowers currently pay only up to 10% of discretionary income each month and can discharge their remaining debt after 20 years (10 if they work in “public service”).

Democrats said these plans would reduce defaults. They haven’t. Federal student debt has ballooned because many borrowers don’t make enough to cover interest and principal payments, so their balances expand. Student debt has nearly doubled since 2011 to $1.6 trillion, though the number of borrowers has increased by only 18%.

Now Mr. Biden is cutting undergrad payments to a mere 5% of discretionary income. The government will also cover unpaid monthly interest for borrowers so their balances won’t grow even if they aren’t paying a penny. This will mask the cost to taxpayers of the Administration's rolling loan write-off. Student-loan debt won’t appear to swell even as it does. What a fabulous accounting trick.

The Penn Wharton Budget Model estimates that canceling $10,000 for borrowers earning up to $125,000 will cost about $300 billion. The Pell grant addition could increase this by as much as $270 billion. The four-month freeze on payments will cost $20 billion on top of the roughly $115 billion it already has.

The payment plan revisions could eventually add hundreds of billions of dollars more. An analysis commissioned by the Trump Education Department estimated that taxpayers would lose $435 billion on federal student loans, largely because borrowers in these payment plans on average were expected to repay only half of their balances. Now they will repay even less.

Worse than the cost is the moral hazard and awful precedent this sets. Those who will pay for this write-off are the tens of millions of Americans who didn’t go to college, or repaid their debt, or skimped and saved to pay for college, or chose lower-cost schools to avoid a debt trap. This is a college graduate bailout paid for by plumbers and FedEx drivers.

Colleges will also capitalize by raising tuition to capture the write-off windfall. A White House fact sheet hilariously says that colleges will “have an obligation to keep prices reasonable and ensure borrowers get value for their investments, not debt they cannot afford.” Only a fool could believe colleges will do this.

It’s important to appreciate that there has never been an executive action of this costly magnitude in peacetime. Not Mr. Obama’s immigration amnesties, not his Clean Power Plan, not Mr. Trump’s border-wall fund diversion. Nothing comes close to this half-trillion-dollar or more executive coup.

Congress authorized none of Mr. Biden’s loan relief and appropriated no funds for it. Progressives say the Higher Education Act of 1965 lets the Education Secretary “compromise” (i.e., modify) student debt. But the Federal Claims Collection Act of 1966 sets very limited terms and strict procedures for such “compromise.”

Even Mr. Biden said in December 2020 it was “pretty questionable” whether he had authority to cancel debt this way. The Supreme Court recently underscored in West Virginia v. EPA that Congress must provide clear authorization to agencies taking action on major questions. Canceling so much debt is beyond major to a mega-ultra-super question.

With the cancellation precedent, progressives will return to this vote-buying exercise every election year. The only antidote will be if Democrats conclude this gambit boomeranged politically by mobilizing an opposition coalition of Americans who are tired of being played for saps by progressives. The test arrives in November.

https://www.wsj.com/articles/the-hal...se-11661378933

exactly correct as usual Originally Posted by nevergaveitathought

He has trouble with nuance...

You seem to, too.

Socialism Luke gow we pay for their garde 1-12?

I haven't any kids but boy have I paid into that Socialism of educating a bunch of our posters! Originally Posted by WTF

thats inane

you havent been the president either, but you help pay his salary via taxes...or do you pay tax?

the same conceptual thoughts, or universals that hang twixt reality and nominalism, given for paying school taxes applies to the presidents salary as well..for societal benefit

Except he is not...especially parts that are nuanced Originally Posted by WTF

you wouldn't know a nuance even if it was butt fukn you

the current estimated cost of the student debt forgiveness is now up to $600B

PPP loans forgiven

Notables but not an exhaustive list

Matt Gaetz - 476,000
Marjorie Green - 180,000
Vern Bachman - 2,800,000
Kevin Hern - 1,070,000
Roger Williams - 1,430,000
Brett Guthrie - 4,300,000
Mike Kelly - 974,1000
Markwayne Mullin - 988,700
Carol Miller - 3,100,000

Members of the “If you take out a loan, the govt shouldn’t pay it for you” crowd. This is the ultimate in pork. Originally Posted by 1blackman1

You forgot Pelosi’s husband.