Biden Cancels $7.4 billion in Student Debt

US President Joe Biden speaks as he announces a new plan for federal student loan relief during a visit to Madison Area Technical College Truax Campus, in Madison, Wisconsin, US, April 8, 2024. REUTERS/Kevin Lamarque/File Photo Purchase Licensing Rights
US President Joe Biden speaks as he announces a new plan for federal student loan relief during a visit to Madison Area Technical College Truax Campus, in Madison, Wisconsin, US, April 8, 2024. REUTERS/Kevin Lamarque/File Photo Purchase Licensing Rights
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Biden Cancels $7.4 billion in Student Debt

US President Joe Biden speaks as he announces a new plan for federal student loan relief during a visit to Madison Area Technical College Truax Campus, in Madison, Wisconsin, US, April 8, 2024. REUTERS/Kevin Lamarque/File Photo Purchase Licensing Rights
US President Joe Biden speaks as he announces a new plan for federal student loan relief during a visit to Madison Area Technical College Truax Campus, in Madison, Wisconsin, US, April 8, 2024. REUTERS/Kevin Lamarque/File Photo Purchase Licensing Rights

The Biden administration will cancel $7.4 billion in student debt for 277,000 borrowers, the White House said on Friday, the latest in a series of debt cancellations.

President Joe Biden announced plans on Monday to ease student debt that would benefit at least 23 million Americans, addressing a key issue for young voters whose support he needs as he seeks re-election in November.

Those plans include canceling up to $20,000 of accrued and capitalized interest for borrowers, regardless of income, which Biden's administration estimates would eliminate the entirety of that interest for 23 million borrowers, Reuters reported.

The latest round of debt relief affects 277,000 Americans enrolled in the SAVE Plan, other borrowers enrolled in Income-Driven Repayment plans, and borrowers receiving Public Service Loan Forgiveness, the White House said in a statement.

It follows an announcement in March that $6 billion in student loans would be canceled for 78,000 borrowers.

The administration said on Friday it has approved $153 billion in student debt relief for 4.3 million Americans.

Biden, a Democrat, last year pledged to find other avenues for tackling debt relief after the US Supreme Court in June blocked his broader plan to cancel $430 billion in student loan debt.

The campaign of former President Donald Trump, Biden's Republican challenger in the White House race, in March criticized the student loan cancellation as a bailout that was done "without a single act of Congress."

The issue remains high on the agenda of younger voters, many of whom have concerns about Biden's foreign policy on the war in Gaza and fault him for not achieving greater debt forgiveness.

Republicans have called Biden's student loan forgiveness approach an overreach of his authority and an unfair benefit to college-educated borrowers while other borrowers received no such relief.

Roughly half of federal student loan debt is held by people with a graduate degree, according to the Brookings Institution think tank. An August 2023 report by the Department of Education said graduate students received the highest share - 47 percent - of federal student loan disbursements from 2021-22, even though they accounted for only 21 percent of all borrowers.



Putin Warns West Not to Let Ukraine Use Its Missiles to Hit Russia

 Russian President Vladimir Putin congratulates Russian Border Guards troop celebrations their service holiday in Moscow, Russia, Tuesday, May 28, 2024. (Alexander Kazakov, Sputnik, Kremlin Pool Photo via AP)
Russian President Vladimir Putin congratulates Russian Border Guards troop celebrations their service holiday in Moscow, Russia, Tuesday, May 28, 2024. (Alexander Kazakov, Sputnik, Kremlin Pool Photo via AP)
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Putin Warns West Not to Let Ukraine Use Its Missiles to Hit Russia

 Russian President Vladimir Putin congratulates Russian Border Guards troop celebrations their service holiday in Moscow, Russia, Tuesday, May 28, 2024. (Alexander Kazakov, Sputnik, Kremlin Pool Photo via AP)
Russian President Vladimir Putin congratulates Russian Border Guards troop celebrations their service holiday in Moscow, Russia, Tuesday, May 28, 2024. (Alexander Kazakov, Sputnik, Kremlin Pool Photo via AP)

Russian President Vladimir Putin warned the West on Tuesday that NATO members in Europe were playing with fire by proposing to let Ukraine use Western weapons to strike inside Russia, which he said could trigger a global conflict.

More than two years into the deadliest land war in Europe since World War Two, as the West considers what to do about Russian military advances, Putin is increasingly evoking the risk of a global war, while Western leaders play it down.

NATO Secretary General Jens Stoltenberg told the Economist that alliance members should let Ukraine strike deep into Russia with Western weapons, a view supported by some European members of the transatlantic alliance but not the United States.

Russian forces have advanced into Ukraine's Kharkiv province safe in the knowledge that Ukraine cannot attack missile launchers being fired deep inside Russia because it cannot use the Western missiles that have the required range.

Meanwhile, Western-made air defenses cannot attempt to down Russian rockets until they cross the Ukrainian border, only 25 km (15 miles) or so from Ukraine's second city, Kharkiv.

"Constant escalation can lead to serious consequences," Putin told reporters in Tashkent in Uzbekistan.

"If these serious consequences occur in Europe, how will the United States behave, bearing in mind our parity in the field of strategic weapons?"

"It's hard to say - do they want a global conflict?"

Putin said Ukrainian strikes with long-range weapons would need Western satellite, intelligence and military help - so the West would have to be directly involved in such attacks.

He said sending French troops to Ukraine would also be a step towards global conflict and that smaller countries considering deeper involvement "should be aware of what they are playing with" as they had small land areas and dense populations.

"This is a factor that they should keep in mind before talking about striking deep into Russian territory. This is a serious thing, and we are of course watching it very closely," Putin said.

RUSSIAN ADVANCES TRIGGER DEBATE IN WEST

Russia's full-scale invasion of Ukraine in 2022 touched off the worst breakdown in relations with the West for 60 years.

The invasion has caused the deaths of tens of thousands of Ukrainian civilians, driven millions to flee abroad, and reduced neighborhoods and whole cities to rubble.

Putin casts the war as part of a struggle with the West, which he says is exploiting Ukraine as part of a wider plan to encroach on what he considers Moscow's sphere of influence.

The West and Ukraine cast the attack as a simple land grab: Russia controls 18% of Ukraine, and the crisis is now escalating into what diplomats say is its most dangerous phase.

Russian officials say Moscow's patience is wearing thin after Ukrainian attacks on Russian cities, oil refineries and elements of its nuclear early-warning system.

Putin said Kyiv and its Western backers had provoked Russia's offensive on the Kharkiv region by ignoring repeated warnings not to let Ukraine attack the adjacent Russian region of Belgorod.