Cardona explains why ‘fixing a broken student loan system’ is a priority

With the federal student loan repayment freeze set to expire in May, Education Secretary Miguel Cardona told “CBS Mornings” on Friday that the Biden administration is working on how to help students get debt relief.

“We have these conversations now,” Cardona said. “It’s definitely something that where we have the ability to determine where colleges might have taken advantage or loan officers have taken advantage of borrowers, we’re releasing and paying off debts. We’ll continue conversations around overall debt relief. debt.”

Americans owe more than $1.7 trillion in student loan debt in the United States. More than 43 million borrowers hold federal student loan debt.

Cardona said the Biden administration has stepped up relief for some student loan borrowers, including allowing 33,000 student loan borrowers through the Civil Service Loan Forgiveness Program.

“We definitely put, from day one, borrowers and students at the center of the conversation. In just one year, President Biden has already forgiven over $17 billion,” Cardona said.

But Democratic Senator Elizabeth Warren said Mr Biden should do more and write off all student loan debt.

Cardona said they are working to ensure the loan process works to help students stay safe.

“We know that in administration we have a responsibility to put our students first. We think the higher education system needs work. We think the lending process needs work,” a- he declared. “We’re working on it to make sure the system doesn’t go back to where we were too. So in five years we don’t want to be in the same position we were. Loan forgiveness is one thing, but fixing the broken system is something we’ve been working on as well.”