One of the recent issue which has generated a lot of heated debates that is the subject of student loan forgiveness. It is almost that we see active discussions and debates of politic representatives. Especially, during the time before the presidential election, every candidate announces his platform about this subject. It is because student loan forgiveness is a matter which concerns a considerable percentage of the population. On the other hand, this topic has some sensitivity in terms of the education system and other issues which directly or indirectly is related to career opportunities for youth. As time passes and the topic of the next presidential election is becoming more actual which brings some questions about student loan programs along with itself. In this article, we are going to take a look at each platform and future strategic offer of prospective candidates for presidential election in 2020
General problems with student loans
Day-by-day several issues with student loan programs have been kept an upward trend by now. Only a few of the applicants are getting approved for student loan forgiveness programs. Besides, an increasing number of people who have experienced the procedural or legal challenge while applying for Borrower Defense to Repayment Program. On the other hand, according to the statistics reports, several complaints, lawsuits, and negative reviews have been reached the level which is considered the highest point in its history. These problems don’t allow people to think positively about the future of student loans. Something is wrong, and there is the urgency of doing some activities. There is no doubt that politics are aware of this situation, and they understand the importance of the required solutions.
According to the statistics reports released by the Federal Reserve, the overall amount of student loan debt has been reached $1.57 trillion by the last year. On the other hand, based on CNBC, many students with loan debts have been around 44 million through the United States. If we take into account the fact that studies show people are eager to support any idea which includes forgiving or lessen such debt burden. That is why politics representatives and presidential candidates are not strange this situation, and we can see the different view of them about this subject.
Even though student loans had started to become an actual from the presidential time of Barack Obama, back to in 2012, we could not see the required reforms of student loan forgiveness or refinance on his platform. After the following years, the Republicans started to make their position about student loan with some solutions or offers. One of the most popular platforms were announced in 2016. At that time, Hillary Clinton was one of the central politics who offer debt-free colleges. On the other hand, Senate Bernard Sanders claimed with the solution which stated that the relief for the borrowers could solve the fundamental challenges. This active debate between two of them caused strict discussions, some of the people had criticized it, the other group supported, but each of them has an actual argument to support their sides.
Debt-free colleges – the supporter of this platform claims that we have to provide affordability for the students who are at the most need. It means that at the first place student should need to take any loan for their education or degree programs. The government needs to allocate the resource of education for the student who lives in a weak economic condition which does not allow them to join paid educational programs. Debt-free colleges supporters claim that forefront students for education should be people with more in-depth need.
Another idea of a solution is tuition-free college concept which claims that simplicity of debt-free college system will not allow the students to carry out the process. Due to the considerations including a lot of paperwork, legal procedures which are potentially challenging for the borrowers, the opponents of this idea state the risk of the concept. Of course, the possible realization of both purpose and predictability of the further outcomes required some skepticism. And it is not hard to see that the view of politicians from different parties.
In 2016, President Election, Senate Bernard Sanders participated with the concept of tuition-free on this platforms At the most of his public statements, he announced that the students should be able to go to colleges without taking any loan. He supported the idea of free availability of public colleges for the students. Based on his statements and public releases, it could be foreseen that most likely Bernard Sanders will continue his campaign in 2020 president election, either.
One of the other politicians who actively participate for doing something about student loan is Sen. Elizabeth Warren. Since 2014, Elizabeth Warren has been sending an alarm signal about student loan refinancing. At one of his public statements, she announced that working on the student loan forgiveness problems will be her forefront priority when she would be elected. Although it was stopped by the Grand Old Party (US Republican political party), Elizabeth Warren had started the bill which allows the borrower students for refinancing their student loans. Unfortunately, this program could not live so long; it was blocked.
Another candidate for presidential election is Bustle, Sen. Kamala Harris who has recently announced her strategy to deal with student loan debts. She explained that one and the main reason for such a student loan debt crisis is greedy loan lenders. By taking into consideration of a massive number of applications which alleged the schools for misleading or deceptive commercial practices, there is strict need of a mechanism that will be holding the schools responsible for their activities. Many problems of the borrowers with student loan servicer companies should be an emergency signal for the government to design the required program. Kamala Harris prepared and proposed LIFT Act in the purpose of helping the students from lower-income families. This act gives the students who could earn lower than $100 000 a chance to get access to the tax credit which allows them to make regular payments on their credit debts.
When we look at the list of president electoral candidates, it is not hard to consider the difference of the platform that Amy Klobuchar has been proposed. Unlike her competitors, she announced a little bit different agenda. So, at one of her interviews, Klobuchar stated that she supports the idea of neither debt-free colleges nor tuition-free colleges at all. Sen. Amy Klobuchar explains her position in a way that she thinks the government with current national debt and limited resources is not able to provide full four-year colleges degree for students on free.
By taking all said into consideration and counting the problems with student loan debts above mentioned, what stands out from the description of the current situation is that the politics are required to put the best of their effort and time to handle these problems. There is no doubt that student loan forgiveness or other types of discharge and relief programs concern significant part of voters. If we take into account this fact, to be elected the candidates for presidential election are going to need to make this subject into priority.