Biden Administration is, again, allowed to forgive student debt

The Street

TheStreet’s Conway Gittens brings you the biggest news of the day, including what investors are watching and why those with student loans are rejoicing.

Transcript

00:00I'm Conway Gittins reporting from the New York Stock Exchange.

00:02Here's what we're watching on the street today.

00:04Investors traded lightly on Thursday

00:06ahead of the crucial monthly employment report.

00:09Friday's data could support the Federal Reserve's decision

00:11to make a big interest rate cut in September

00:14or spark fear that even more rate cuts are needed

00:17to prevent the labor market from softening too much.

00:20In other news, if you have a student loan,

00:22you will not be forgiven for having whiplash.

00:25President Biden's debt forgiveness efforts

00:27have been on again, off again, ever since he launched them.

00:30Well, this time, they're on again,

00:32thanks to a ruling by a federal judge.

00:34A restraining order temporarily blocking

00:36student debt relief will expire,

00:38paving the way for loan balances to disappear

00:41for 27.6 million Americans.

00:44With all of Biden's student loan reduction programs combined,

00:47three out of every four federal student loan borrowers

00:51could benefit, according to the Center for American Progress.

00:55The Department of Education hailed the latest ruling,

00:58which arrived a month before

00:59the November presidential elections.

01:01Quote, we will not stop fighting

01:02to fix the broken student loan system

01:05and provide support and relief

01:06to borrowers across the country.

01:09This debt forgiveness plan will help

01:10if you fall into one of these categories.

01:13One, your loan balance is larger

01:15than the amount you borrowed.

01:16Two, you've been making payments for decades.

01:19Three, you have a loan from a school

01:21facing financial trouble.

01:22Four, you qualify for a loan forgiveness program,

01:25but have yet to apply.

01:27The White House says the plan,

01:29which still has to be finalized,

01:30will save borrowers $147 billion over a decade.

01:36Republicans have tried to block

01:37all of Biden's student loan rollbacks

01:40by turning to the courts.

01:41They did score a win earlier this year with the Supreme Court.

01:45That'll do it for your daily briefing

01:46from the New York Stock Exchange.

01:48I'm Conway Giddens with The Street.

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