For many Americans, the debate over student loan forgiveness is a politically polarizing one. Democrats usually argue that student loan forgiveness will help relieve the financial burden on students; Republicans usually argue that it is unfair to use everyone’s tax dollars to fund the forgiveness of student loans that were willingly taken out in the first place.
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Biden spoke extensively about bolstering the opportunities of children through K-12 education, stressing the importance of students being able to advance to college while being able to afford it.
While it’s undeniable that the amount of college loans is soaring, the government isn’t hurting from it. In fact, the government makes money on college loans, according to the 2011 Federal Education Budget Project report.
“The federal government disbursed $112 billion in student loans in 2012. Most of that will be paid back with interest. The interest rates and fees are set high enough that the government makes money,” Federal Education Budget Project Director Jason Delisle said in a New York Times article published Feb. 27, “Putting a Number on Federal Education Spending.”