Republicans have been lambasting President Joe Biden’s plan to cancel massive quantities of federal student loan debt.
The administration’s plan calls for wiping out $20,000 of student loan debt for individuals who received Pell Grants and $10,000 for those who did not get Pell Grants — this debt cancellation would be available to individuals earning less than $125,000 annually.
While the policy promises a windfall for those who have taken on student loan debt and not yet paid it off, the plan will not benefit individuals who have already paid off their federal student loans or people who have never taken out any student loans.
In addition to the inherent unfairness of the debt cancellation proposal, Republican lawmakers have been warning that the plan will worsen inflation.
“Biden’s student loan plan will cause more inflation. Wiping hundreds of billions of dollars off the government balance sheet is like injecting hundreds of billions of newly printed dollars into the money supply. Inflation impacts retirees & lower + middle income families most,” GOP Rep. Thomas Massie of Kentucky tweeted.
“Sad to see what’s being done to bribe the voters. Biden’s student loan forgiveness plan may win Democrats some votes, but it fuels inflation, foots taxpayers with other people’s financial obligations, is unfair to those who paid their own way & creates irresponsible expectations,” Republican Sen. Mitt Romney of Utah tweeted.
“So, you choose to avoid debt & start a business – screw you… pay off your loans responsibly – screw you… take the GI bill & service of country – screw you. But choose to major in ‘gender’ studies & pile up debt to live in your parents’ basement – lottery! #StudentLoanScam,” GOP Rep. Chip Roy of Texas tweeted.
“Today, @JoeBiden forced every American who didn’t attend college or has already paid off their loans to now pay off others’ debts. Democrats’ canceling student loans isn’t a ‘relief’ for Americans. It’s an added burden that will only further increase inflation,” Sen. Rick Scott of Florida tweeted.
“To be clear — student debt is not being ‘canceled’ or ‘forgiven.’ It’s just being transferred from well-off college graduates to working class taxpayers,” GOP Rep. Mike Johnson of Louisiana tweeted.