More than 1.1 million Pa. applied for Biden’s student debt relief | Monday morning coffee

with President Joe Bidens Student Debt Relief Program now in the hands of the US Supreme Courtthe White House went on the offensive last week, releasing state breakdowns of how many Americans could benefit.

A total of 26 million people across all 50 states have applied for the one-time relief — or were automatically eligible — the administration said last week. That included 1.15 million Pennsylvanians, of whom 743,000 had their applications approved and sent to credit servicers, the data showed.

According to the White House, more than 40 million student loan borrowers nationwide would qualify for the one-time relief, with 90 percent of out-of-school borrower benefits going to those earning $75,000 or less a year.

“Millions of these borrowers could be reaping the benefits of that relief today – were it not for lawsuits brought by elected officials in some of their own states,” the White House said in a fact sheet it released last week.

the long-awaited planofficially announced last year issues $20,000 in student debt Pel Grant Recipients and $10,000 for borrowers earning $125,000 or less annually who Capital Star reports back then.

With 64 percent of Pennsylvania college grads having student loan debt in 2019-20, the Commonwealth is among the countries with the highest debt in the country, the Institute for University Access and Successa national organization dedicated to making education accessible and affordable, the Marley Parish by Capital Star reported last year.

The average debt burden of a Pennsylvania college graduate during the same period was $39,375. In Pennsylvania, 22 percent of college graduates had personal student loan debt, with an average total of $42,361. Community reported.

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Republican opponents immediately went to court to try to stop the debt relief program, and that US Supreme Court has announced that it will hear oral arguments in two of the challenges at the end of February, CNBC reported.

The Supreme Court will hear lawsuits from six Republican-run states arguing that “Forgiveness will disrupt state entities that benefit from federal student loans and a lawsuit backed by the Job Creators Network Foundationa conservative advocacy group, with two Texas borrowers partially or fully barred from exonerating the presidentCNBC reported.

It’s possible that the nation’s highest court, which has a Conservative majority, will crush the White House programa legal expert told the Financial News Network.

That’s because the judges were quick to agree to hear the challenges and indicated they were keen to take it down. Lawrence Tribe, Professor at Harvard University Law School told CNBC.

“It basically froze the program until most likely dismantled.” tribe told CNBC.

U.S. Sen. Bob Casey, D-Pa., outlines the $1.2 trillion bipartisan infrastructure bill signed into law by President Joe Biden during a press briefing Thursday, Nov. 18, 2021. (Screenshot)

in Pennsylvania, Bidens Democratic allies have defended the program, describing it as a lifeline for state residents struggling to pay off thousands of dollars in debt.

The program will give borrowers “the freedom to invest in their future, buy a home, or take a risk and start a business.” U.S. Senator Bob Casey, D-Pa., said last year.

Casey added that lawmakers need to address the “exploding”. college costsso that prospective students can get an education “without going into debt for a lifetime”.

Former before leaving office Governor Tom Wolf announced that Pennsylvania borrowers are eligible for the program will not face any government taxes on forgiveness – a position that is consistent with the federal government and other countries.

“Debt loans are holding us all back. Individuals, families and the community as a whole. President Bidens The Student Debt Relief Plan is a burden off our shoulders, and we will not burden Pennsylvanians who benefit from this relief with state-level taxes.” wolf said in a statement last October.