As Expected, Biden Dodges Supreme Court, Shifts Nearly $40B In Student Debt To Taxpayers

P. Gardner Goldsmith | July 19, 2023
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On July 6, I reported for MRCTV that Joe Biden had heard the Supreme Court tell him to stop using the so-called “HEROES” Act to delay payment of college loans, and his welfare pandering team was readying another plan to foist that debt onto us.

Friday, he not only announced it, he used such insufferably offensive rhetoric to do so that the press appearance itself stands out like a giant middle finger to people with any sense of right and wrong, of peace and socialistic pandering.

“You know, these Republicans just couldn’t bear providing relief to working-class, middle-class Americans.”

Just how taking the debt some Americans willingly adopted for school, and then shifting it onto other Americans... how that is “relief” to “middle-class” Americans? That remains more than a bit of an angering mystery.

Just as mysterious is the Biden Administration line magically spouted through Education Secretary Miguel Cardona (don’t get too caught-up trying to find the constitutional provision that allows for his job or department – you won’t find it). Cardona -- a man whose salary literally is extracted from OUR earnings and time -- evidently found enough time away from portraying as “potential domestic terror threats” folks attending local school board meetings, to self-righteously say:

“For far too long, borrowers fell through the cracks of a broken system that failed to keep accurate track of their progress towards forgiveness…”

Practically, the Biden DOE announcement claims that it will “forgive” (i.e., shift to us) nearly $40 billion in federal student debt for over 800,000 borrowers enrolled in one of several federal “income-driven” loan programs.

Reason’s Emma Camp offers key details, writing that this is:

“…the culmination of several changes to income-driven repayment (IDR) plans made in April 2022—and the correction of endemic government errors in carrying out those changes. Under most IDR plans, borrowers pay a specific percentage of their income each month for a set number of years—usually 20 or 25 years—after which their remaining balance will be forgiven. Previously, payments were required to be on time and in full in order to count toward cancellation.”

But are these truly “government errors” which the DOE and Biden are “correcting?”

She adds:

“However, under the April 2022 changes, borrowers with certain federal loans could have payments counted toward their 20- or 25-year time span, even if those payments were incomplete or late.

Among other circumstances, the new regulations also allow any month ‘spent in economic hardship or military deferments’ after 2013 or any month spent in noneducational deferments before 2013 to count toward total repayment time.”

And that might be the magician’s “tell.”

Related: Obama Admin. Hid the Coming Tsunami of College Loan Defaults | MRCTV

Since from its beginning in 2021, the Biden Administration used a misreading of the “HEROES” Act to postpone billions of bucks in college debt payments -- claiming the college kids were experiencing hardship under an “emergency” -- and since the Supreme Court just told Biden to STOP doing that, does it seem justified to wonder if Biden and his DOE now are using the “hardship” terminology, combined with the extra “COVID Emergency” time the loan-holders were given to NOT PAY, to shift many of them into this new category, and, in essence, have their debt paid by other people, like you, and me?

And, regardless of how they do it, how about the simple and obvious facts that all federal student loans are unconstitutional and that no one has a right to force US to pay the debts of others?

How is it that Biden and Cardona can portray as “victims” the new human sponges who will receive “help” thanks to Biden robbing from us?

Camp concludes with a cache of forbidding information:

“The Education Department's latest round of forgiveness shows just how many taxpayer dollars can be spent without engaging in blanket federal student loan cancellation. Though Biden's plan for sweeping loan forgiveness was struck down at the Supreme Court, the Education Department is still free to spend billions of taxpayer dollars by making dramatic changes to existing loan repayment programs. 

Even if Biden never achieves his goal of enacting blanket loan cancellation, his reshaping of IDR plans may well do more long-term damage than one-time forgiveness ever could. Changes to IDR plans are projected to cost as much as $360 billion in just the next decade, while Biden's one-time loan forgiveness plan was estimated to cost over $400 billion total.”

That means you, and your kids, will pay.

So, even as you hear media outlets praise Biden, or you see the chatterboxes on “the news” talk about “the process” for people with student debt to get in on this federal socialist gravy train, remember, the entire system of federal student loans and grants is wildly unconstitutional. Biden and his DOE making “adjustments” that will absolve the debt many Americans willingly adopted for college is not an act of “charity” and it’s not “forgiveness.” It’s socialism, and it’s thievery.

You are the victim.

To find out more about the history of unconstitutional involvement in college loans, and all the practical problems such involvement has inspired, feel free to read this article, at MRCTV.

And feel free to ask the politicians to read their Constitution, because none of this is justified under that “rule book” for the operation of the three federal branches of government.

Related: Biden Dodges & Weaves In Bid To Continue Student Debt 'Forgiveness' | MRCTV