As Americans prepare to vote for a new president, the Democratic Senator Elizabeth Warren has said she will start to cancel Student Loan Debt On First Day As President. She made the campaign announcement on Tuesday that she would instruct the Secretary of Education to "begin to compromise and modify federal student loans," using a so-called safety valve in the Higher Education Act. She argues that the current law would allow her government cancel the debt without passing a new bill to Congress.
A lot of Democrats are yet to buy into the idea, and Republicans are totally in opposition of the law, which will make such student loan forgiveness bill face difficulties if sent to Congress. Also, passing the new law without going through the Congress will also be met with different legal challenges as the majority will see it as Federal Government overreaching.
Senator Bernie Sanders is also proposing a similar bill, while Senator Warren is looking to cancel up to $50,000 in student loan debt, Sanders on the other hand is looking to cancel all dollars of single loan debt, irrespective of the income or debt burden.