President Joe Biden has decided to halt his initiative to cancel student loans for over 38 million Americans. This move is part of a broader plan by the administration to withdraw pending regulations to prevent potential alterations by the incoming President-elect Donald Trump.
The White House is expected to retract unfinished rules across various agencies to prevent the next administration from rewriting them swiftly to align with their agenda.
Despite withdrawing the student loan proposals, the Biden administration continues to pursue loan cancellation through alternative channels. The Education Department announced the clearance of loans for an additional 55,000 borrowers eligible under the Public Service Loan Forgiveness program.
The administration's decision to withdraw the regulations aims to prevent Trump from implementing his own rules on these issues without starting the process anew.
The Education Department emphasized its authority to cancel student debt but stated that it intends to focus on assisting borrowers in resuming payments post the pandemic-induced pause.
As the Biden administration prepares to withdraw pending regulations, there is concern over a potential government shutdown that could complicate the administration's efforts to conclude pending matters.
Another rule that may face withdrawal pertains to transgender athletes, which could be modified by Trump to align with his campaign promises.
While the administration remains committed to its regulatory goals, the lengthy process involving legal reviews and public input necessitates careful consideration of which rules to finalize before Biden's term ends.
Presidents have increasingly relied on executive orders and regulations to navigate legislative gridlock, but these policies are susceptible to changes between administrations.
Although Biden's comprehensive student loan cancellation plans have faced setbacks, the administration has forgiven a record $180 billion in federal student loans through existing programs.
Despite not achieving widespread loan cancellations as promised, Biden's administration has provided significant relief to borrowers, enabling them to pursue their life plans without the burden of student loan debt.
The administration's decision to withdraw the student loan proposals marks a strategic move to safeguard against potential alterations by the incoming administration.
