April 08, 2021

U.S. Rep. Lawson Introduces Bill to Forgive Student Loan Debt

WASHINGTON, D.C. – Today, U.S. Rep. Al Lawson (FL-05) introduced HR 2034, the Income-Driven Student Loan Forgiveness Act, mandating the Secretary of Education provide federal student loan forgiveness to borrowers who make less than $100,000 per year. 

Due to the pandemic, stagnant wages and unemployment are having a negative impact on college graduates who are unable to make enough to pay back their loans. The Income-Driven Student Loan Forgiveness Act as introduced will help more than 43 million Americans who are buried under $1.6 trillion in federal student loan debt by wiping out all of their undergraduate loan debt. 

“Canceling student debt will help increase economic activity and provide our nation’s graduates with the relief and opportunity they deserve,” Rep. Lawson said. “Students and families are taking on tens of thousands of dollars in debt to pay for a quality education. Large amounts of student loan debt prevent young adults from making large purchases, like cars and homes, and it prevents them from having the capital necessary to contribute to our economy in innovative and creative ways. The Income-Driven Student Loan Forgiveness Act will alleviate pressure on our borrowers and give them a better start in life.” 

Americans are burdened by student loan debt now more than ever with 69 percent of college students taking out loans to accommodate the increasing cost of higher education. This is greater for communities of color. More than 40 percent of African-American families have student loan debt and typically take on more debt to attend college. 

Studies show that canceling student debt would help narrow the racial wealth gap, provide immediate relief to millions of Americans during the pandemic and recession, and provide a consumer-driven stimulus to the economy.

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