She Strengthens

The Student Debt Crisis: A Key Issue in the 2020 Presidential Election

As the 2020 presidential election approaches, many Americans are closely following the candidates’ stances on pressing issues, including the student debt crisis. With over $1.6 trillion in outstanding student loans, this issue affects millions of individuals and families. In this article, we’ll examine the proposals of the leading Democratic presidential candidates to address this crisis.

The Scope of the Problem

The student debt crisis is a staggering issue, with borrowers collectively owing nearly $1.6 trillion. Many individuals, including myself, are personally affected by this crisis. My husband and I have over $100,000 in student loan debt, and we’re not alone. Our generation has had to put dreams on hold for years to focus on paying off these loans.

Bernie Sanders: A Comprehensive Solution

Senator Bernie Sanders has proposed a bold plan to tackle the student debt crisis. If elected, he vows to cancel all existing student loan debt, eliminating the $1.6 trillion burden. Additionally, he would cap future student loan interest rates at 1.88%. To make college more affordable, Sanders would eliminate tuition and fees for four-year public colleges and universities. He would also expand Pell grants to cover non-tuition costs for low-income students. To fund his proposals, Sanders would implement a 0.5% tax on Wall Street stock trading, generating $2.4 trillion over ten years.

Joe Biden: Encouraging Education Beyond High School

Former Vice President Joe Biden’s education plan focuses on encouraging more students to attend community colleges. He proposes free tuition for community colleges, which would be funded by capping itemized deductions for the wealthiest Americans at 28%. For those already struggling with student debt, Biden would simplify income-based repayment plans and forgive loans after 20 years of payment. He would also expand the Public Service Loan Forgiveness program and allow student loans to be discharged in bankruptcy.

Elizabeth Warren: Student Loan Debt Relief Act

Senator Elizabeth Warren has introduced the Student Loan Debt Relief Act, which proposes canceling up to $50,000 of student debt for 95% of borrowers. The amount of forgiveness would depend on household income, with those earning $100,000 or less receiving the full $50,000. To fund this plan, Warren would institute a wealth tax on households with a net worth of $50 million or more. Like Sanders, she would also push for free tuition at public universities and increased Pell grants to cover living expenses for low-income individuals.

Michael Bloomberg: A Comprehensive Higher Education Policy

Michael Bloomberg’s higher education plan would make two-year public colleges free for everyone and four-year public colleges free for low-income students. He would also increase Pell grants to make college more affordable for low-income individuals. To address existing student loan debt, Bloomberg would implement an automatic income-based repayment plan, ensuring borrowers don’t pay more than 5% of their discretionary income toward loan repayment. He would fund his plan through a tax increase on the wealthy, including surtaxes, capital gains taxes, corporate taxes, and estate taxes.

Other Candidates’ Stances

Representative Tulsi Gabbard has expressed support for making college more affordable, although her website doesn’t outline a specific plan. She has sponsored legislation to address the student loan crisis, including a bill to allow private student loans to be discharged in bankruptcy.

The Importance of Getting Informed

The student debt crisis is a critical issue affecting millions of Americans. As we approach the 2020 presidential election, it’s essential to understand each candidate’s stance on this issue and find those whose values align with our own. By getting informed, we can make a difference in shaping the future of higher education and the lives of millions of individuals and families.