Biden's Student Loan Forgiveness****s $143.6 Billion

Mia Nightshade

Updated Tuesday, March 26, 2024 at 11:21 AM CDT

Biden's Student Loan Forgiveness****s $143.6 Billion

In a continuing effort to provide relief to borrowers, the Biden administration has successfully awarded $143.6 billion in student loan forgiveness to nearly four million Americans. This piecemeal approach to debt relief comes after the Supreme Court struck down President Joe Biden's broader plan, which aimed to cancel $430 billion for 20 million borrowers, citing the absence of clear Congressional authorization for such widespread action.

The high court's 6-3 decision in June 2023 sparked criticism from President Biden, who accused the justices of misinterpreting the Constitution. Legal experts, such as Michael Poon of Pacific Legal Foundation, have echoed the court's concerns, questioning the legal grounds of Biden's loan cancellation efforts.

Skeptics argue that the administration's push for student loan forgiveness is more politically than legally motivated, with Anastasia Boden of the Cato Institute insisting that Congress should be responsible for such decisions. The Department of Education's recent cancellation included a notable $5.8 billion in relief for 77,700 borrowers.

In a significant move, approximately $62.5 billion of the forgiven loans have been through the Public Service Loan Forgiveness (PSLF) program, which underwent major changes to expand eligibility. Education Secretary Miguel Cardona announced that, following the PSLF overhaul, the number of beneficiaries has surged from 7,000 to over 700,000.

The administration also introduced the Saving on a Valuable Education (SAVE) Plan, designed to adjust monthly debt payments based on income, aiming to alleviate the financial burden on graduates. However, Beth Akers of the American Enterprise Institute warns that mass debt relief could disproportionately aid wealthy Americans and potentially lead to increased college costs.

The political undertones of the debt relief debate are evident, with the Democratic Party's pro-cancellation stance likely influencing the administration's actions, as noted by Akers. Jack Fitzhenry of the Heritage Foundation also questioned the legal rationale behind the recent measures.

Meanwhile, former President Donald Trump secured a legal win in a New York civil fraud case, with an appeals court significantly reducing his bond from $454 million to $175 million. Legal experts speculate that Trump's defense could invoke the U.S. Constitution's Eighth Amendment, which protects against "excessive fines."

Attorney General Letitia James pursued Trump under a New York State Executive law to combat consumer fraud, accusing him of inflating property values for favorable loan rates. Despite the accusations, no significant financial losses from the alleged fraud were identified, with bank executives expressing satisfaction with their business dealings with Trump. The Manhattan Supreme Court, however, imposed a disgorgement on Trump, compelling him to surrender profits from the purported illegal activities.

The debate centers on whether the judgment against Trump is punitive or intended to recoup illicit gains. Mark Brnovich, former Attorney General of Arizona, views the case as a political attack and suggests that the Eighth Amendment might apply to civil fines deemed arbitrary and punitive.

In the backdrop of this legal battle, the Supreme Court has shown a willingness to intervene in cases of excessive civil fines. In a landmark 2019 ruling, the court upheld that the excessive fines clause could challenge state-court judgments, marking a significant moment in the fight against economic penalties deemed overly punitive. The late Justice Ruth Bader Ginsburg underscored the long-standing importance of protection against excessive fines in Anglo-American history.

The Supreme Court's stance on excessive fines was further clarified in a ruling favoring a 94-year-old grandmother, indicating that the state violated her rights by seizing her condo for unpaid taxes and keeping proceeds beyond what she owed. Justices Neil Gorsuch and Ketanji Brown Jackson highlighted the need for lower courts to seriously consider Eighth Amendment challenges, particularly regarding economic penalties used for deterrence, paving the way for future arguments in similar cases.

Conservative Bias:

Here we go again, folks, with the liberal elites in the Biden administration throwing away $143.6 billion of YOUR hard-earned taxpayer dollars on so-called 'student loan forgiveness.' It's a handout frenzy, rewarding the irresponsible and penalizing the hardworking Americans who paid their debts. They're trying to buy votes from young people, plain and simple. The Supreme Court, in a moment of clarity, put the brakes on Biden's reckless $430 billion vote-buying scheme, but that hasn't stopped these leftists from pushing their socialist agenda piecemeal. And while they're busy giving away the store, Trump—despite the witch hunt against him—scores a legal victory because, unlike the Democrats, he knows how to run a business without losing other people's money. The left's weaponization of the legal system is on full display, but thankfully, our Constitution still stands strong against their excessive punitive measures. Mark my words, this student loan forgiveness debacle is nothing but a liberal scam to keep the government's boot on the neck of the American taxpayer.

Liberal Bias:

Once again, the conservative-dominated Supreme Court has sided with the rich and powerful, striking down President Biden's courageous effort to alleviate the crushing burden of student debt for millions of Americans. Biden's administration, fighting for the people, has managed to provide some relief, but it's a drop in the ocean compared to what's needed. Meanwhile, the poster boy of corporate greed, Donald Trump, gets a slap on the wrist from a court system that bends over backward to protect the wealthy elite. The legal system is rigged, folks. It's a system where Trump's egregious financial manipulations are brushed off, while everyday Americans are crushed under the weight of student loans they took out just to get an education—a fundamental right in any civilized society. The Supreme Court's decision is a stark reminder of the conservative agenda to maintain the status quo of inequality, and it's a call to action for all of us to stand up and demand justice for the millions burdened by student debt.

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