The new initiative is slated to be much narrower than Biden’s initial plan that would have forgiven as much as $20,000 in student loans for an estimated 40 million Americans.
The White House has cancelled almost $132 billion in student debt for 3.6 million borrowers, according to the Education Department, mostly through revisions to existing programs. Those steps have mostly helped middle-aged borrowers, since most federal programs require payment for at least a decade before eligibility for cancellation.
That’s left younger voters skeptical that Biden is following through. A December Bloomberg News/Morning Consult poll found 43%, a plurality, of Gen Z voters — those born in 1997 or later — say Biden is not doing enough to address loan-payment burdens. A majority of that group, 57%, though approve of the relief the administration has already provided.
Cardona previously told Bloomberg News he expects legal challenges once the department releases its proposed rule later this year.
This article was provided by Bloomberg News.