Student loans: Education secretary says announcement ‘next week or so’ as August deadline looms

With about 10 days left, Americans are speculating whether President Joe Biden will extend the current moratorium or perhaps forgive some of the debt.

“We’ve been talking about this every day. The American people will hear from the president and the Department of Education in the next week or so about what we’re going to do,” Cardona told NBC’s show. Chuck Todd in “Meet the Press.”

He didn’t elaborate on the details, saying he wouldn’t get ahead of the announcement.

“I have no news to announce today,” he said.

The White House has previously said Biden plans to announce something before the Aug. 31 deadline.

Biden administration cancels $3.9 billion more in student loan debt for former for-profit college students

Since March 2020, when the Covid-19 pandemic hit the United States and devastated the economy, most federal student loan payments have been eliminated.

Biden has extended the suspension four times, arguing that federal student loan borrowers need to get back on their feet. Most recently he was done in April.
Meanwhile, Democratic lawmakers and supporters have widely called for Biden to cancel up to $50,000 per borrower in student loan debt, but the president has consistently refused to cancel much of it.

In addition to potentially extending the suspension, the White House has suggested that Biden is considering canceling $10,000 per borrower, excluding those making more than $125,000 a year.

Biden has canceled more student loan debt than any other president, and his administration has spent $32 billion primarily due to defrauded and permanently disabled borrowers by for-profit colleges. I am authorizing the cancellation of a loan near me.

CNN’s Katie Lobosco and Veronica Stracqualursi contributed to this report.

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