People are anxiously ready for Congress to cross one other spherical of coronavirus aid laws, although there’s uncertainty in what it’d embrace. President Trump has indicated he would help some type of stimulus checks and unemployment advantages, however the president has not made it clear if he would again scholar loan aid.
The CARES Act supplied a suspension of scholar loan funds and curiosity accrual for about six months, however that may finish quickly. Many are pushing for the pause to proceed, because the financial system has nonetheless not recovered and the coronavirus pandemic is barely getting worse in some states. A proposal from Republican Congressman Steve Stivers of Ohio would lengthen the hiatus by means of the tip of the 12 months.
Others have pushed for scholar debt forgiveness in various quantities. Senator Elizabeth Warren (D-MA) desires no less than $10,000 in scholar loan forgiveness and even Democratic presidential nominee Joe Biden has joined her in that decision.
Progressives have referred to as for eliminating $30,000 in scholar debt. And Home Democrats handed a invoice this spring that would offer $10,000 in debt forgiveness to distressed debtors and prolonged the coed loan cost suspension for a complete 12 months.
President Trump has been considerably inconsistent on the difficulty of debt forgiveness. His administration has been against present debt forgiveness packages, however he has gave the impression to be considerably extra open to it. Earlier this 12 months, he was reportedly contemplating a scholar loan forgiveness coverage as he felt political stress from Senators Warren and Bernie Sanders of their presidential campaigns.
Even earlier than the CARES Act handed, Trump proposed a shorter scholar loan cost suspension. He additionally proposed waiving curiosity on scholar loans for a short time. Nonetheless, he has been principally silent on the difficulty as Congress considers the subsequent legislative package deal, selecting to focus totally on unemployment advantages and stimulus checks.
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