A 40% Boost in Black Wealth If Biden Decides To Cancel Student Debt

    According to Bloomberg News, the Biden government’s decision to allow for a moratorium on the payment of student loans has made way for the President to forego student loans up to an amount of $50,000 per person. If the President enacts the move, it will be of immense benefit to the millions of American students, particularly Black borrowers. 

    In June, a report from the Roosevelt Institute revealed if a debt of $50,000 towards student loans payment per person were waived off, it would instantly increase by 40% of what is known as Black wealth. According to the analysis, the Black borrowers at the bottom of net worth 10% would have approximately an additional $5000 forgiven compared to their white counterparts. 


    Forgiving student debt loans of amount $50,000 would aid in providing more benefit to the ones that enjoy lesser economic resources. This would also address the racial wealth gap. 

    Bloomberg News also reports that as per Education Data Initiative, collectively 43.2 million Americans hold $1.75 trillion related to student debt loans, and it was also seen that the Black students become graduates with more debt, and they also take a longer time to make payments for the same. As per an analysis of 2019 by the Center for American Progress, 32% of Black students had already fallen behind on their payments, even after six years of completing either two-year or four years in college. 

    The main reason that can be held responsible for the same is that the Black people in the United States have less wealth by seven times compared to their White counterparts, thereby making it cumbersome and difficult for them to pay off their debts even with a middle-class income. Loans have also been responsible for preventing the Black people from investing in businesses and buying homes.

    RELATED ARTICLES

    lessinvest.com savings

    Best Tips to Maximize LessInvest.com Savings Returns

    You know, when it comes to lessinvest.com savings, it's more than just numbers on a...
    Master Your Personal Finance

    Master Your Personal Finance: 5 Essential Money Management Tips

    Master Your Personal Finance. Feeling overwhelmed by bills and unsure where your money goes? Is...
    Holly andrews

    An Exclusive Interview with Holly Andrews, Managing Director of KIS Finance

    Holly Andrews stepped into the Managing Director role at KIS Finance in 2015 and didn’t...
    Precize Makes Investing in Unlisted Shares Easier, Safer, and More Accessible

    Precize Makes Investing in Unlisted Shares Easier, Safer, and More Accessible

    The Booming Market of Unlisted Shares in India India's financial ecosystem is witnessing a paradigm shift...
    2025 Web3 Investment Set to Explode After $7.4 Billion in VC Funding for 2024

    2025 Web3 Investment Set to Explode After $7.4 Billion in VC Funding for 2024

    2024 was a standout year for cryptocurrencies. Thanks to a spate of favorable regulatory and...
    lessinvest.com income

    Lessinvest.com Income Explained: How It Works

    Investing is perhaps the most effective way to build wealth and be financially secure in...
    cricket 07 wheon.com

    Cricket 07 Wheon.com: Why Gamers Love the Wheon Edition

    EA Sports Cricket 07, a game that has stood the test of time since its...
    Wheonx Health

    Wheonx Health: Redefining Wellness in 2025

    In the age of digital transformation, which is reaching into all industries, health care is...
    Wheon is now Wheonx

    Wheon Is Now Wheonx: Official Brand Update

    In a world of constant digital change, adaptability is a must. It is important to...
    write for us + areyoufashion com

    Write for Us + AreYouFashion.com: Tricks for Quick Approval

    Write for us + areyoufashion com gets your words out there, but finding places that...
    SD Mobile Point

    What Is SD Mobile Point? Streaming & Download Info

    In this digital age, mobile entertainment is at an all-time high. We see an increase...