Thread by @ragregg

BREAKING: @SenSchumer and @SenWarren are introducing a resolution demanding the Trump administration cancel $50,000 of student loan debt.

45 million Americans hold a whopping $1,600,000,000,000 in student loan debt.

This would be a huge first step. I explain. 1/

This action would provide immediate relief to struggling borrowers, inject an economic boost to the economy and go a long way to ensuring that people don’t have to make a heartbreaking choice between paying their student loans or feeding, clothing, and housing their families. /2

Forty-five million Americans hold a whopping $1.6 trillion in student loan debt. Eight million of those individuals have defaulted on their loans. Before this crisis, a person defaulted on their student loans every 26 seconds. /3

COVID has upended our economy and sent millions all at once into unemployment, and without bold action, the massive burden of student loan debt threatens the economic security of borrowers. /4

In the CARES Act, Congress halted student loan payments through September, and President Trump has taken administrative action to suspend payments through the end of the year. That’s a good start. /5

But these actions exclude an estimated one in five borrowers who owe commercially-held FFEL loans or Perkins loans. They deserve relief as well. Also, public health experts and economists all say that this health/economic crisis will go well into 2021. /6

The burden of student loan debt falls greatest on people of color, who borrow at higher rates and in larger amounts due to racial inequities in incomes and wealth. But also women, who hold 2/3 of the US’ student debt, and on average borrow $3K more than men to attend college. /7

Three million Americans who are 60+ still have student debt. More than 40,000 people over 65 have their Social Security payments, tax refunds, or other government payments offset or garnished because they have fallen behind on their student loan payments. /8

Opponents of student debt cancellation argue that it would be a windfall for the most privileged like doctors and lawyers who, like me, hold a lot of student debt. /9

But the data show the opposite. Those with the least debt are more likely to default. Therefore, canceling even $10,000 of student loan debt—which makes up almost *two-thirds* of those who default—would be incredibly impactful for those struggling to make ends meet. /10

We are entering a worldwide crisis that is as bad, or worse than 2008 (a crisis that has stopped many of us from buying homes and saving for retirement). It’s time to cancel student loan debt & provide meaningful relief to people & strong economic stimulus for the country. /end/