Student loan borrowers hungry for more government help could see very different policies next year depending on who lives in the White House.
With nearly one in five U.S. adults carrying student debt, student loan policy tends to lag behind other economic issues in the eyes of voters. Still, about 4 in 10 adults say they think it is extremely or very important that the federal government provide student debt relief, with current borrowers and Democrats supporting the idea in larger numbers, according to a June poll by the AP-NORC Center. Public Relations Research.
Student loan forgiveness played a major role for Democrats during the 2020 campaign, but Vice President Kamala Harris has steered clear of the topic at recent campaign events. She also did not provide a detailed plan for repaying student debt.
On the other hand, former President Donald Trump criticized the Biden administration’s student debt policies during the election campaign. But he also hasn’t announced any alternative plans to help borrowers manage their student debt.
Serious future plans aside, here’s what we know about each candidate’s views on student loan forgiveness based on their past actions and statements.
Harris’s position on student loan forgiveness
Despite legal opposition from Republicans to the Biden administration’s major student loan forgiveness plans, the Education Department still managed to forgive a huge chunk of debt. Over the past four years, loans have been forgiven to more than 5 million borrowers, totaling more than $175 billion in outstanding debt.
Harris has touted these actions, although she did not focus on student loan forgiveness during her campaign.
Earlier this month, after the White House announced it had forgiven the debts of more than 1 million borrowers under the Public Service Loan Forgiveness program, Harris said in a statement that she was “proud” of the administration’s progress and would continue to work. “ease the burden of student debt.” (That’s all she says on the topic on her campaign website.)
When Harris ran in the 2020 Democratic primary, she introduced a complex student loan forgiveness plan that included debt forgiveness within a narrow range. He called for loan forgiveness for borrowers who received federal grants while attending college. And opened a business. But like President Joe Biden, she has moved left on the issue following continued pressure from progressive politicians to provide more universal student loan forgiveness.
In that sense, a Harris presidency would likely mean a continuation of the same policies now being pursued by the Biden administration, including the fight for a new, more generous “Education Savings Savings” debt repayment plan that has been stalled by a court injunction. It would also likely mean moving forward with the Plan B student loan forgiveness proposal, which aims to forgive debt for borrowers in certain scenarios, including those facing financial hardship. The plan is also being challenged in court.
Trump’s position on student loan forgiveness
The outcome of the court cases blocking two of the Biden administration’s student debt policies may not matter much if Trump wins the election; he will likely cancel both plans.
When the Supreme Court struck down Biden’s first student loan forgiveness plan, which would have forgiven up to $20,000 per borrower, Trump called it a victory for the American people. Most recently, he questioned the legality of the administration’s debt policies and called them “vile” at a rally in Wisconsin. And during the presidential debate, he called the administration’s handling of student loan forgiveness a “total disaster.”
While Trump was in office, his administration weakened a rule known as borrower-to-repayment defense. The rule, dating back to the 1990s, calls for loan forgiveness for students the government believes were defrauded by schools with misleading admissions offers. (The Biden administration has since expanded forgiveness options under this rule.)
Trump’s budget proposals during his presidency also called for ending government loan forgiveness. At the time, approval rates for the program, which was signed into law in 2007 under then-President George W. Bush, were dismal, with an estimated 99% rejection rate.
While Trump opposes any broad student loan forgiveness, he has supported the theory of income-driven repayment plans in the past. These plans set monthly student debt payments based on how much the borrower earns, but they also offer some loan forgiveness after an extended repayment period. (Biden’s income-based version, SAVE, is currently being challenged in court.)
During his time in the White House, Trump floated the idea of making loan repayments easier by combining several existing income-driven plans into one new plan. It was a mixed bag for borrowers: Those with student loans would see their monthly payments increase slightly, but they would qualify for loan forgiveness five years earlier than before. Borrowers with college degrees would have to pay longer before they could have their loans forgiven.
That proposal never materialized, and he hasn’t spoken out recently about his position on reforming the student loan repayment system.
Finally, Trump suspended federal student loan payments and waived interest to help borrowers during the pandemic. The policy was extended twice during his presidency and several more times after Biden took office.
Harris vs. Trump on other college issues
On other higher education issues, both campaigns emphasized the importance of focusing on value and access.
Harris’ campaign website says she “will fight to make higher education more affordable so college can be the ticket to the middle class.” As a senator, she co-sponsored legislation calling for free tuition for all community college students and free tuition at public universities for students from families with incomes under $125,000. The bill never made it past the committee stage. She also advocates for expanding economic opportunity for those without a four-year degree.
In keeping with Trump’s promise to “bring back the American Dream,” his platform calls for “creating additional, significantly more affordable alternatives to the traditional four-year college education.” There are no details other than this.
Trump, with his usual conservative viewpoint, has also repeatedly criticized the Department of Education, calling it one of the federal agencies that should be eliminated. He campaigned on the idea until his 2016 victory, although he never took action on it after being elected.
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