{"id":29684,"date":"2023-06-30T12:30:57","date_gmt":"2023-06-30T16:30:57","guid":{"rendered":"https:\/\/ifintechworld.com\/news\/this-fight-is-not-over-advocates-push-biden-to-use-other-tools-to-cancel-student-debt\/"},"modified":"2023-06-30T12:30:59","modified_gmt":"2023-06-30T16:30:59","slug":"this-fight-is-not-over-advocates-push-biden-to-use-other-tools-to-cancel-student-debt","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=29684","title":{"rendered":"\u2018This fight is not over\u2019: Advocates push Biden to use other tools to cancel student debt"},"content":{"rendered":"
\n

In the wake of the Supreme Court\u2019s decision to block the Biden administration\u2019s student-loan forgiveness plan, advocates and some lawmakers are pressuring the White House to find another way to cancel student debt en masse.<\/p>\n

On Friday, the court\u2019s conservative majority blocked the White House\u2019s plan to cancel up to $20,000 for a wide swath of borrowers. The Department of Education had rested its authority to carry out the plan on the HEROES Act, a 2003 law that allows the Secretary of Education to waive and modify student loans in a case of national emergency.\u00a0<\/p>\n

\n

The court ruled the HEROES Act didn\u2019t authorize the Secretary to cancel student debt en masse. But for years, advocates and lawmakers have said the executive branch has other tools. In the wake of the decision, they\u2019re ramping up pressure on the Biden administration to use them.\u00a0<\/p>\n

\u201cThis is about the HEROES Act and this is about the use of the HEROES Act,\u201d Persis Yu, managing counsel and executive director of the Student Borrower Protection Center, an advocacy group, said of Friday\u2019s decision. \u201cWe have the rest of the Higher Education Act still available in order to make sure that borrowers get relief. What we are calling on this administration to do now is to go ahead and use the other provisions of the Higher Education Act to deliver on the relief that Biden has promised.\u201d\u00a0<\/p>\n

Advocates have been especially focused on one plank of the Higher Education Act they say allows the Department of Education to \u201ccompromise, waive, or release\u201d any right to collect on student debt. Luke Herrine, an assistant professor at the University of Alabama School who was involved in founding the Debt Collective, a debtor activist organization, has been writing for years about the authority.\u00a0<\/p>\n

\u201cThe Biden administration must use all other legal tools at their disposal to deliver student-debt relief and fulfill his campaign promise,\u201d Braxton Brewington, the spokesperson for the Debt Collective said in a statement following the decision. \u201cIt won\u2019t be acceptable for Biden to point to the Supreme Court as the reason he can\u2019t deliver on relief\u2014he\u2019ll need to fight every step of the way.\u201d<\/p>\n

During the 2020 presidential campaign, Senator Elizabeth Warren, a Massachusetts Democrat, said she would use the compromise and waive provision to cancel up to $50,000 in student debt for a large share of borrowers on day one of her presidency. After the decision, Warren said again that the executive branch has the power to discharge student debt en masse.\u00a0<\/p>\n

\u201cThis fight is not over,\u201d Warren said in a statement. \u201cThe President has more tools to cancel student debt \u2014 and he must use them. More than 40 million hard working Americans are waiting for the help that President Biden promised them, and they expect this administration to throw everything they\u2019ve got into the fight until they make good on this commitment.\u201d<\/p>\n

Over 16 million borrowers had applications approved to have their debt canceled, before officials were blocked by litigation from carrying out the plan.\u00a0<\/p>\n

\u201cMost certainly the president needs to deliver on the borrowers who have already been promised relief,\u201d Yu said. \u201cThose borrowers who have received emails who said you are approved for debt cancellation. They need to have relief immediately.\u201d\u00a0<\/p>\n

During oral arguments in the student loan cases in February, J. Michael Connolly, the attorney representing two student loan borrowers suing over the debt-relief plan, acknowledged that the Higher Education Act gives the Department of Education the authority to cancel student debt.\u00a0<\/p>\n

\u201cThe parties are in agreement that they have the power to do this,\u201d Connolly said of the debt forgiveness. \u201cUnder the HEA.\u201d<\/p>\n

Still, using the authority successfully could pose challenges. The Higher Education Act requires the Department of Education to submit regulations for notice and comment. That would likely hold up any debt cancellation initiative and allow time for opponents to sue once again.\u00a0<\/p>\n

Bloomberg reported that President Joe Biden would speak Friday about other steps the administration will take on student-debt relief. <\/p>\n

At the same time, Republican presidential candidates praised the Supreme Court on Friday for blocking Biden\u2019s student-loan forgiveness plan. <\/p>\n<\/p><\/div>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

In the wake of the Supreme Court\u2019s decision to block the Biden administration\u2019s student-loan forgiveness plan, advocates and some lawmakers are pressuring the White House to find another way to cancel student debt en masse. On Friday, the court\u2019s conservative majority blocked the White House\u2019s plan to cancel up to $20,000 for a wide swath […]<\/p>\n","protected":false},"author":1,"featured_media":29685,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"gallery","meta":{"footnotes":""},"categories":[236],"tags":[83],"class_list":["post-29684","post","type-post","status-publish","format-gallery","has-post-thumbnail","hentry","category-news","tag-featured","post_format-post-format-gallery"],"yoast_head":"\n\u2018This fight is not over\u2019: Advocates push Biden to use other tools to cancel student debt | iFintechWorld<\/title>\n<meta name=\"description\" content=\"In the wake of the Supreme Court\u2019s decision to block the Biden administration\u2019s student-loan forgiveness plan, advocates and some lawmakers are pressuring\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link 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