President Joe Biden announced Wednesday a one-time cancellation of a portion of federal student loan debt. The new policy erases up to $20,000 for people who went to college on and $10,000 for those who didn鈥檛 鈥� only if they鈥檙e making less than $125,000 per year.
Some Oregon students are appreciative of the move but think the president could have gone further.
According to data from Oregon鈥檚 Higher Education Coordinating Commission, or HECC, graduates from Oregon鈥檚 public universities have roughly $21,000 in federal loan debt. At community colleges, former students owe about $13,000 on their federal loans. Overall, 31% of Oregon undergraduates have federal loans, according to the Oregon HECC.
鈥淚 am thrilled for the mobility and relief this decision will bring to student debt holders in Oregon and across the country,鈥� Luda Isakharov, the University of Oregon鈥檚 student body president, said in a statement to OPB. 鈥淗owever, a one-time cancellation is the bare minimum in addressing the skyrocketing costs of a college education.鈥�
Isakharov is from Oregon, and she said she chose to go to UO because the in-state tuition made it more affordable.
鈥淏ut, a lot of my friends and peers come to Oregon for programs from out-of-state, and the costs are extremely burdensome, and as a result they have to take on extremely large amounts of loans,鈥� she said. 鈥淚 just wish we could all choose our college, universities and educational paths based on our passions and the best fit for us and not be restrained by burdensome costs.鈥�
Oregon politicians reacted positively to Biden鈥檚 announcement Wednesday.
Rep. Suzanne Bonamici, D-Ore., and U.S. Sens. Ron Wyden and Jeff Merkley, both Democrats, put out statements Wednesday morning in support of the president鈥檚 action.
Bonamici called the announcement 鈥渢he most far-reaching in a long list of actions taken by the Biden administration to support student borrowers, reform the federal student loan system, and make our nation鈥檚 colleges and universities more affordable.鈥�
Wyden tweeted that the one-time loan forgiveness is great news for students who are forced to make decisions between paying off their loans and making ends meet. He said he鈥檒l continue to push for student debt relief in the future.
Merkley said he applauds the action but views it as a 鈥渄own payment鈥� on the overall solution. He says he鈥檒l pursue larger reforms, including affordable income-based repayment plans.
As at most of Oregon鈥檚 public higher education institutions during the pandemic, tuition has increased. The rising cost of higher education has made it much harder for students to graduate without substantial debt.
UO student body president Isakharov says she hopes Biden鈥檚 announcement will start a wider conversation about access and affordability for college.
鈥淔orgiving loans is an amazing step, but I want to know what is next 鈥� both from the federal government, but also from the state of Oregon,鈥� Isakharov said. 鈥淭he systematic issues that force people to take out loans in the first place are continuing to raise tuition prices.鈥�
Biden also announced he will extend the student loan pause one last time. It had been , but Biden said it will now last through the end of this year.
This story may be updated.
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