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Tax Blog

Cancellation of Student Loan Debt is still an option for Biden Administration

With the new moratorium on student loans being pushed through August, the Biden administration has said that the cancellation of student loan debt by executive action is “still on the table,” according to White House press secretary Jen Psaki. The Biden administration has faced questions about the student loan debt crisis since taking office over a year ago.

The moratorium on payments for student loans has been extended six times since the Covid-19 pandemic began over two years ago.

White House press Jen Psaki recently previewed the next steps for the Biden administration between now and August 31, which either involves another extension or they’re going to decide on canceling student debt.

The Biden administration would prefer that Congress pass legislation to cancel $10,000 in student debt which would be a “more permanent” solution than an executive order that may be overturned by the judicial branch or a future president.

Please reach out to the professionals at the Center for Financial, Legal, and Tax Planning, Inc., at (618) 997-3436 for more information.



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The Center for Financial, Legal & Tax Planning, Inc.

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