Binghamton University students react to student loan forgiveness
On Wednesday morning, President Joe Biden announced a student loan cancellation plan for many students, and students at Binghamton University had a strong reaction.
The Biden administration’s student loan plan will forgive $10,000 of debt for those with student loans who earn less than $125,000 a year and $20,000 for students who went to college on Pell Grants . President Biden also extended the student loan pause for what is expected to be the last time, until December 31, 2022. And for undergraduate loans, people can cap repayment at 5% of their monthly income.
WNBF spoke with a number of Binghamton University students after the announcement, and each thought it was a big step towards solving the student loan crisis.
Kitty Liao, one of the students who spoke with WNBF, said, “It’s a good thing. Student loan debt is one of the biggest problems in the United States right now. lots of loans, but I know my older sister went to private school, so obviously it’s going to be a lot more than a SUNY. But if they could find a way to alleviate all student loans, I think that would be better.
“It’s great, perfect,” said Tatiana Balasenowich. “I’m drowning in debt and I think that would be very beneficial not just for me, but for literally everyone who is struggling with Covid and loss of jobs and everything. I think it could be more but I’ll take what I can get.”
Dr Tim Lavis, an employee of Binghamton University, said: “It’s not enough, but it’s a start. This is going in the right direction. Overall it will help the economy even if it costs us something in the short term to get people out of student loan debt, it will have a positive impact in the long term.”
The recurring theme among students at Binghamton University was that this decision by President Biden should only be a starting point. And many other reactions criticized the move on the basis of racial inequality, as minority students statistically take out more loans than white students. A report by Julie Rogier of US News indicates that black and Hispanic students tend to take out larger loans with higher interest rates than white students, and that 69.4% of Hispanic and Latino students borrow more than $40,000. So $10,000 in student loan forgiveness statistically goes a lot further for white students than it does for black or Hispanic students.
Jack Zhou told WNBF “I feel like they are doing what they can at this stage and at this age. I feel like a lot of the solutions that come with the loan cancellation and the financial problems that are happening in the world, I think it’s more of a what can we do now and what can we fix later. It’s not a perfect solution, but they are solutions.
Another popular aspect of student loan criticism has been the predatory nature of the industry. It’s no secret that tuition fees have increased dramatically over the past few decades and many jobs now require at least a bachelor’s degree to even get a foot in the door. So many teenagers have to take out massive loans even to attend a public school like Binghamton University.
Dominic Perfetti told WNBF “Having gotten all this mail, to some extent, these loans that are not the most ideal corporate loans as opposed to federal loans, if you’re not very knowledgeable on the subject, the loans I’m most reported on are the ones I’m most informed about, so I’d say ‘predatory’ is a word you can definitely use to describe it.”
It’s unclear what the next steps are to resolve the $1.6 trillion student debt crisis. But if you ask students at Binghamton University, full student loan forgiveness should definitely be on the table.
Four Bizarre College Courses You Can Actually Take
Looking for a college course that isn’t exactly the norm? These four definitely fall into the weird category!
A+ accessories for back to school
As summer draws to a close, students, teachers and parents are all gearing up for the start of the school year.
Whether you’re still learning remotely or are back in the classroom, these accessories are here to prepare you and help you have the best school year yet!
Here are 12 A+ accessories to enhance your back-to-school experience…