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Yes for student debt relief

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Student debt should be canceled as it will help students focus more on starting their careers in a challenging and competitive field of work.

Almost 45% of college graduates in 2020 are still looking for work, CBS News said, and COVID-19 hasn’t made it easier.

The average federal student loan debt is $ 36,510 per student and $ 54,921 in private student loans, according to Education data organization.

The total amount of student debt in 2020 is approximately $ 1.6 trillion. In 2008, it stood at $ 600 billion, which means it has almost doubled in 12 years, according to the Peter G. Peterson Foundation.

A lot of people ask, “How will the $ 1.6 trillion be covered?”

Senator Elizabeth Warren, when introducing the bill to the Senate, said she would tax the wealthiest Americans when presenting the $ 50,000 student debt cancellation plan. Senator Bernie Sanders has said he will create a “Wall Street speculation tax”, taxing transactions in stocks, bonds and derivatives, according to NPR.

The money should come from the taxation of the rich. In the midst of the pandemic, the rich got richer and the poor got poorer.

CBS News’s Aimee Picchi wrote an article on March 31 about billionaires who became 54% richer during the pandemic, while poverty rates also rose during the pandemic.

In Picchis’ article, he said that Chuck Collins, a researcher with the IPS program on inequalities, said that a wealth tax would be good for the economy. He said that if the rich had been taxed last year, $ 345 billion would have been a significant amount of money pumped into the economy.

This wealth tax could bring in up to $ 1.5 trillion over the next 10 years. This amount raised is close to $ 1.6 trillion in student debt. According to Picchi’s CBS News article.

According to America scholarship Organization, students with bad loan payments are less likely to buy a home, get a car loan, have bad credit scores, and most likely continue to live with their parents.

Speaking of parents, sometimes they have to apply for federal parental loans on behalf of their student children.

According to Student loan hero Organization, 69% of the college class of 2019 had an average debt of $ 29,000. Students weren’t the only ones taking out loans, but parents too. Fourteen percent of parents of students took out an average of $ 37,000 in federal parental loans.

Students who have graduated have to settle for lower paying jobs because of the financial responsibility they have to pay their bills.

Consider getting your degrees debt free, how much easier would it be to cope with a difficult field of work? Do not have the urgency to get the first job offered to you just because your first student loan bill arrives.

According to CNBC do it, a survey found that 56% of all American adults and 62% of Gen Z support $ 10,000 in student loan relief.

Some may argue that there is financial assistance for student loans. Yes there is. Low-income students face the greatest difficulty. They not only face financial hardship but also personal issues at home, such as unstable homes, living in low income neighborhoods that have high crime rates.

Middle class students seem to have it a little easier or at least it seems. Middle class students take on more debt after graduation. Their families earn too much money to qualify for financial assistance but cannot afford school fees out of pocket, according to America scholarship. Thus, forcing them to apply for private federal loans.

Some may claim that they have paid off their student loans, why should students get relief now? Pretend it’s unfair.

David Goldstein in an article for Vox on Nov. 16, he wrote that even though he had paid off his student loans, he still supported the cancellation of student loans. Goldstein explained the difference in tuition fees when he went to college in the early 1980s.

He wrote that the average tuition fee at a four-year public college or university was only $ 909 thirty years ago. Now the average tuition fee is $ 10,230 per year.

At the time, Goldstein wrote that the minimum wage was $ 3.35 and that he could have paid all of his tuition, plus fees, by simply working full-time for about seven weeks.

Tuition fees have since risen more than 11 times, but the minimum wage has only been raised to $ 7.25.

CNBC do it wrote that in a survey of 3,069 students, 39% of students who already have loans would consider dropping out in order to avoid taking on more debt.

San Jose City College 2021 tuition fees are $ 1,362 for California residents and $ 9,118 for out-of-state students. About 48% of enrolled students received grants, scholarships, and financial aid, according to https://www.collegetuitioncompare.com/edu/122746/san-jose-city-college/.

It also states that the average income after 10 years of graduation is $ 37,600. Is that enough for the cost of living in the Bay Area?

Students shouldn’t have to worry about paying their student loan or rent.

According to https://www.payscale.com/cost-of-living-calculator/California-San-Jose, cost of living in San José is 49% higher than the national average. The cost of living in San José has been calculated at $ 50,000.

This student aid bill will help ease the burden of approximately 45 million students. Whether it was the $ 10,000 student relief that President Biden approved during the campaign or the $ 50,000 Congress is trying to push him through, the mass relief that would spill over into everything. the country would be remarkable.

Students need this relief bill to pass. Many students have heard it promised by Biden and are still waiting for its fulfillment. Many are in difficulty, drowned in student debt.

This relief bill will help ease the financial hardship caused by federal and private loans, not to mention the financial hardship also caused by COVID-19.


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