Biden to ask Justice Department to review power to write off student loan debt
WASHINGTON (NewsNation Now) – President Joe Biden is expected to ask the Justice Department to review its legal authority to write off student loan debt, the White House said on Wednesday.
White House press secretary Jen Psaki told reporters Biden believes student loan relief above $ 10,000 should be targeted based on the borrower’s income and type of debt. in question.
“He is not in favor of $ 50,000 relief for unrestricted student loans,” Psaki said.
“Once his team is in place at the Justice Department, he will ask them to conduct a legal review of his authority to act by the executive in conjunction with a policy review of his Home Policy Council on how debt relief by the executive, where appropriate, should be targeted, ”Psaki added.
Senate Majority Leader Chuck Schumer and Senator Elizabeth Warren called on Biden on Wednesday to write off $ 50,000 in federal student loan debt.
“A sea of student loan debt holds 43 million borrowers and weighs disproportionately on black and brown Americans. The cancellation of $ 50,000 in federal student loan debt will help close the racial wealth gap, benefit the 40% of borrowers without a college degree and help stimulate the economy, ”the officials said. lawmakers in a press release.
Reuters contributed to this report.