Biden may attempt to fulfill student loan forgiveness prior to the election.

• Millions of student loan borrowers could have their debt forgiven by President Joe Biden weeks before the election.
• Higher education expert Mark Kantrowitz stated that the conflict between Democrats and Republicans over student debt forgiveness will persist during the election.

Millions of federal student loan borrowers could be forgiven their debt by President Joe Biden just weeks before the November election, where he faces off against former president Donald Trump.

The U.S. Department of Education announced that it will release its final rule on student loan relief in October, as part of the Biden Administration's Spring 2024 Unified Agenda.

According to higher education expert Mark Kantrowitz, the administration wouldn't be able to implement its program until July 2025 due to the regulatory changes' timeline. Nevertheless, the department could act earlier by publishing a notice in the Federal Register, as Kantrowitz pointed out.

Experts suggest that the optimal combination of retirement accounts can reduce your future tax burden. The uncertainty surrounding Biden's reelection may pose challenges for student loan borrowers. A federal judge has partially lifted the FTC's noncompete ban, which has implications for workers.

According to Kantrowitz, the rule's publication is expected to take place in early October, allowing the conflict between Democrats and Republicans over student debt forgiveness to persist during the election.

The Department of Education in the United States did not provide a comment when asked.

Loan forgiveness a sharp partisan issue

Conservatives often argue that it's unfair to forgive student loan debt for those who have benefited from higher education, while also placing the financial burden on taxpayers. Approximately 35% of Americans aged 25 and older hold a bachelor's degree, according to an estimate by Kantrowitz.

Ryan Walker, executive vice president of Heritage Action for America, stated that they are proud to stand with taxpayers in demanding the Biden administration abandon plans to force all Americans to take on the debt of a select few, something the Supreme Court has already deemed unconstitutional.

Walker stated that Biden's recent debt transfer scheme is an unlawful, unjustified move made during an election year, which is failing, and should lead to Biden's defeat at the polls.

A recent survey from SocialSphere found that nearly half of all voters, or 48%, consider canceling student debt an important issue in the upcoming 2024 presidential and congressional elections. The survey polled 3,812 registered voters, including 2,601 Gen Z and millennial respondents, between March 15-19.

In the election, 70% of Gen Z respondents, 72% of Black voters, and 68% of Hispanic voters consider the action to be "very" or "somewhat" important.

A significant number of young conservatives back student loan cancellation, with 49% of Gen Z and millennial Republicans surveyed expressing support for erasing some or all outstanding education debt.

Trump, as president, advocated for the abolition of the U.S. Department of Education's current loan relief programs, including the widely-used Public Service Loan Forgiveness program. Additionally, he proposed to drastically reduce the department's budget and his administration put a stop to a regulation that would have granted loan forgiveness to individuals who were deceived by their schools.

Trump's campaign for president in 2023 has indicated that he plans to make deeper cuts to financial aid programs for students, and he has repeatedly criticized Biden's loan relief policies. In a campaign video, he stated that he wants to eliminate the Education Department entirely.

Republicans may try again to stop relief plan

Since the U.S. Supreme Court rejected Biden's initial plan for widespread loan cancellation last summer, his administration has been working on a revised plan. Although the Education Department made the relief more targeted this time in an attempt to increase its chances of success, up to 20 million people could still benefit.

Biden's new student loan forgiveness plan resembles his initial proposal.

Missouri Attorney General Andrew Bailey, a Republican, wrote on X that Biden's revised relief program is an attempt to "unabashedly eclipse the Constitution."

"See you in court," Bailey wrote.

Six Republican-led states, including Missouri, filed a lawsuit against Biden's first debt relief plan.

The conservative Supreme Court justices concurred with the red states that the president exceeded his authority and that canceling debt would harm the profits of lenders.

Legal challenges are certain to arise once the Biden administration releases its new student loan forgiveness plan in October, according to Kantrowitz.

Soon after the final rule is published, lawsuits to block it will be filed.

The Supreme Court ruling could pose a challenge to Biden's revised plan.

In June, the high court overturned the 40-year-old Chevron doctrine, which required judges to defer to federal agencies' interpretations of disputed laws. The 6-3 ruling, which divided the conservative-majority court along ideological lines, is expected to weaken the federal government's regulatory power.