Nearly 100 lawmakers have forwarded correspondence to President Joe Biden, advocating for a federally-held student loan payments pause and meaningful student debt cancellation.
“We are writing to urge you to act now to extend the pause on federally-held student loan payments until at least the end of the year,” the legislators wrote. “White House Chief of Staff Ron Klain’s recent comments about potentially extending the payment pause and administratively canceling student loan debt are encouraging to millions of borrowers across the country. Although there may be different ideas about the best way to structure cancellation, we all agree that you should cancel student debt now.”
The payment pause has been a significant federal investment throughout the pandemic, providing relief to millions of families during the economic and public health crisis while saving them an average of $393 per month.
“Restarting repayment will financially destabilize many borrowers and their families and will cause hardship for many who could not afford repayment,” the legislators added. “Most borrowers are not financially prepared to shoulder another bill as they face skyrocketing costs for necessities like food and gas. While the payment pause on federally held student loans has provided essential temporary relief to families, it does not permanently address the student loan crisis.”
The lawmakers said that canceling student debt is one of the most powerful ways to address racial and economic equity issues.
“The student loan system mirrors many of the inequalities that plague American society and widens the racial wealth gap,” the legislators concluded. “Black students, in particular, borrow more to attend college, borrow more often while they are in school, and have a harder time paying their debt off than their white peers.”