Coronavirus student loan relief: Women of Congress Ayanna Pressley and Ilhan Omar introduce bill to write off at least $ 30,000 for borrowers amid COVID-19 pandemic
A bill co-sponsored by US Representative Ayanna Pressley would provide student loan relief to 45 million borrowers in the United States.
Pressley, along with U.S. Representative Ilhan Omar, a Democrat from Minnesota, introduced the bill on Monday as the country responds to the coronavirus pandemic.
The Emergency Student Debt Relief Act would provide immediate relief canceling at least $ 30,000 of outstanding student debt per borrower.
“During this public health emergency, no one should have to choose between paying their student loan, putting food on the table or ensuring their safety and that of their family,” Pressley said in a statement.
The bill would also ensure that any debt canceled is tax-free.
It also demands that the Department of Education immediately take responsibility for the monthly payments of federal student loan borrowers during the COVID-19 pandemic.
The third aspect of the bill would protect borrowers from any collection or garnishment during the COVID-19 public health crisis. It would also protect borrowers from any federal compensation that would prevent them from receiving benefits.
“Canceling student debt will help jumpstart the economy by increasing consumer spending and reducing the financial strain on workers during this pandemic,” Pressley said in a statement.
Pressley said 45 million people represent $ 1.6 trillion in student loan debt in the United States. Massachusetts, she said, ranks in the top 10 states in the country with the highest student loan debt with over 855,000 owed at $ 33 billion.