Legal experts are expressing concern over President Joe Biden’s attempts to cancel student loans, suggesting that these efforts may be more politically motivated than legally justified. The Supreme Court has already struck down Biden’s original plan to cancel $430 billion in federal student loan balances and wipe out the debts of 20 million borrowers. Experts argue that decisions of this magnitude should be made by Congress, not the president, as forgiveness programs tend to drive up the cost of education and threaten the viability of the student loan program.
Following the Supreme Court’s ruling, Biden has shifted to a piecemeal approach, utilizing existing Department of Education loan programs to provide relief to as many borrowers as possible. However, experts point out that many aspects of Biden’s student loan cancellation efforts are still unauthorized by statutes passed by Congress. While the administration has been more careful in its methods, the legality of these actions is still questionable. The Supreme Court emphasized that federal programs of this scale must be clearly authorized by Congress, not implemented through executive orders.
The Biden administration has already awarded $143.6 billion in student loan forgiveness to nearly four million Americans using various Department of Education programs. This includes a recent announcement of $5.8 billion in debt relief for 77,700 borrowers. The largest share of forgiveness has come from the Public Service Loan Forgiveness (PSLF) program, which the administration has expanded significantly to include more borrowers. The Department of Education has also introduced the Saving on a Valuable Education (SAVE) Plan, a new income-driven repayment option for borrowers.
Despite the administration’s efforts, legal experts raise concerns about the broader implications of mass student debt relief. They warn that such programs may benefit wealthy individuals and incentivize universities to raise tuition prices further, anticipating eventual debt cancellation. Critics also question the political motivations behind Biden’s student loan forgiveness initiatives, suggesting they are driven by a desire to appeal to Democratic voters rather than sound economic reasoning. The administration’s focus on canceling student loans may be a strategic move to maintain a positive public image and garner support.
Experts emphasize the importance of upholding the rule of law and respecting the separation of powers outlined in the Constitution. They argue that any actions taken by the president beyond his authorized legal authority could set a dangerous precedent and undermine the country’s democratic principles. While the Biden administration continues to pursue student loan forgiveness through administrative processes, legal experts caution that these efforts should be in line with statutes passed by Congress and adhere to established legal frameworks. Ultimately, the debate over student loan forgiveness raises complex legal and policy questions that require careful consideration and adherence to established legal norms.
