(Reuters) – U.S. President Joe Biden is likely to announce his decision to forgive student loan debt as soon as this week, a source with knowledge of the matter told Reuters on Tuesday.
The current government pause in student interest and payments due to COVID-19 expires at the end of August.
Student debt cancellation has become a priority for many liberals and one that could shore up popularity before November’s midterm congressional elections with younger and more highly educated voters, who lean Democratic.
According to a study by New York Federal Reserve economists, forgiving $10,000 per student would amount to $321 billion of federal student loans and eliminate the entire balance for 11.8 million borrowers, or 31 percent.
Education Secretary Miguel Cardona earlier this week said a decision could land in the “next week or so.”
(Reporting by Nandita Bose in Rehoboth Beach, Delaware; Editing by Mark Porter)
