How the Supreme Court Could Rule on Student Loan Forgiveness
TimeMAR 27 2023
The Spin
Republican narrative
Biden's loan-forgiveness plan places an unfair burden on hard-working American tax payers. Surely he can't believe it stands a chance of surviving the numerous lawsuits, or the upcoming scrutiny it will get from a Republican-led House next year. Extending the pause is just a way to make it look like the president is doing all he can to keep the plan alive, even if he promised he wouldn’t extend the payback deadline the last time he pushed it back.
Democratic narrative
Student debt relief is still vital to strengthening the middle class. Republicans seemingly either want to keep their constituents in perennial debt, or are afraid of giving Biden a win on this matter. Either way, their lawsuits are all baseless, and this pause extension makes sense because people shouldn’t be asked to pay down a debt that will be totally forgiven in the near future.
Cynical narrative
Borrowers are rightly outraged at this political fight over debt relief, but they shouldn’t be surprised, as neither party seems to want to lawfully make changes to the student-loan industry. And regardless of how this current battle plays out, the nation will be right back at the same level of debt as soon as 2028. Instead of executive orders and rogue actions, solid, cohesive reform legislation are needed from Congress to prevent students from excessively borrowing in the first place.