A bill co-sponsored by U.S. Rep. Ayanna Pressley would bring student loan relief for up to 45 million borrowers in the United States.
Pressley, along with U.S. Rep. Ilhan Omar, a Democrat from Minnesota, introduced the bill on Monday as the country responds to the coronavirus pandemic.
The Student Debt Emergency Relief Act would provide immediate relief canceling at least $30,000 in outstanding student loan debt per borrower.
“During this public health emergency, no person should have to choose between paying their student loan payment, putting food on the table or keeping themselves and their families safe and healthy,” Pressley said in a statement.
The bill would also ensure that all canceled debt is exempt from taxation.
It also requires the Department of Education to immediately assume responsibility for the monthly payments of federal student loan borrowers during the COVID-19 pandemic.
The third aspect to the bill would shield borrowers from any collections or garnishments during the COVID-19 public health crisis. It would also protect borrowers from any federal offsets that would prevent them from receiving benefits.
“Canceling student debt will help jumpstart the economy by boosting consumer spending and reducing the financial pressure on workers during this pandemic,” Pressley said in a statement.
Pressley said that 45 million people account for $1.6 trillion in student loan debt in the United States. Massachusetts, she said, ranks in the top 10 among states in the country with the highest student loan debt with more than 855,000 owing $33 billion.
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