The resumption of student loan payments after a three-year break, is likely to deliver a blow to American economic growth, according to economists, in a move that could harm many beyond borrowers alone.
"Black student debtors "are 16 percent more likely to be in default or seriously delinquent than white student debtors; Latino borrowers are 8 percent more likely."
“The actual dollar amount, it’s hard to put that at a figure that’s enough to help everyone who is struggling. And because of that, I’d err on the side of doing more.”
An executive action for student debt cancellation would provide much needed economic relief to millions of Black and Latinx families in order to avoid financial catastrophe during the continuing global pandemic.
“This is a microcosm of many intra-progressive, intra-left policy debates—whether it’s better to do something universal and achieve something with relative ease or ensure that only those struggling by some definition get relief."
"Imagine any financial transaction you make and someone says the price of this thing is $100,000, but you are very likely to pay nothing, but first you have to fill out all these forms."
Over 100 community, civil rights, consumer, and student advocacy organizations urge House and Senate leadership to insist on student debt cancellation for all borrowers during negotiations over the next coronavirus relief package.
It is time for colleges, states, and the federal government to prove their commitment to Black students with policy action—not just well-meaning statements and gestures.
12 years after entering college, white men have paid off 44% of their student-loan balance on average, according to an analysis released last year by Demos, a left-leaning think tank.
Twelve years after starting college, white men have paid off 44% of their student loan balances on average, while black men saw their balances grow by 11%, according to an analysis from Demos.
Twelve years after starting college, the white female borrower has paid off 72% of her loan balance. Over the same time period, the typical Black female borrower's balance has grown by 13%.
It’s crucial that the U.S. Congress and the Department of Education act swiftly and aggressively and provide states and institutions with much-needed support before it’s too late.
Bloomberg has quietly begun to roll out a series of policy proposals, and this week, it was higher education’s turn. His plan says a lot about where consensus currently is—and is not.
