Cancel Student Debt
Since the outbreak of COVID-19, 1 in 4 young people have lost work. The $1200 stimulus checks offered by the CARES Act were barely enough to cover a week or two of expenses (median rent for a one-bedroom apartment is $1216/month) and the temporary suspension on student loans only applied to some student borrowers. Given that one-third of Americans under age 30 have student loan debt, student debt cancellation could provide direct, immediate relief to a large number of young people struggling with the economic fallout from COVID-19, and contribute to the long-term financial health of American families.
Student debt has been shown to reinforce the racial wealth gap. Black families rely more heavily on student debt than white families, Black students graduate with an average of $7,400 more in student debt than their white peers, and Black student borrowers default on loans at a rate 5 times that of white borrowers. Student debt cancellation would be a direct way to address structural and institutional racism by removing an additional debt burden that hinders Black American progress.
Finally, student debt cancellation is good for the economy. Studies project a GDP boost of up to $108 billion per year and 1.5 million jobs per year. It’s no secret that we’re headed for dark times economically following COVID-19. Cancelling student debt would put money back into Americans’–specifically, young Americans’–pockets, enabling them to inject money back into the economy and pursue long-term goals like purchasing homes and starting families.
So yes, now is the time. Canceling student debt in the next stimulus package is the answer for a more stable economy and just society. Join us in urging Congress to #CancelStudentDebt!
Student debt cancellation would provide immediate relief to Americans struggling with the economic fallout from COVID-19 and reduce the racial wealth gap by removing an unnecessary debt burden from Black families.
Urge Congress to #CancelStudentDebt next COVID-19 stimulus package!