Lawmakers propose massive student loan cancellation and free college plan


ATLANTA (NewsNation Now) — With college costs spiraling, millions of students struggling to pay for higher education, the financial burden for many is lingering well beyond their degree. 

Americans currently owe $1.7 trillion in student loans, with 93% of that backed at the federal level.

“It’s just so hard to pay for college. I work through college. I have to or else I just would not be able to afford to go here,” said Valerie Lambo, a sophomore accounting major at Georgia State University.

To combat that, Sen. Bernie Sanders (D-Vt.) and Rep. Pramila Jayapal (D-Wash.) proposed on Wednesday the largest student loan cancellation and free college plan in modern history: the College for All Act would:

  • Would make community college and trade schools free to everyone
  • Make public four-year colleges and universities tuition-free for all students from families earning less than $125,000 a year
  • Double the Pell Grant to almost $13,000

Michael Ellison, CEO of CodePath, says higher education needs to be more accessible across the board.

“If you look at the past year, and you look at disadvantaged and underrepresented populations, dropping out of college or just choosing to forget,” said Ellison. “A big part of that reason is just the financial costs, and we absolutely need to move in a direction where education is more free, more accessible.”

CodePath partners with universities to prepare underprivileged and underrepresented students for tech careers.

“A lot of students are struggling just at the basic necessities, let alone talking about what you need to thrive in a technical career, whether that’s the hardware as a laptop or whether you’re looking at universal high-speed broadband,” said Ellison.

The federal government would shoulder about 75% of the cost, while states would pay the remaining share.

However, the pushback comes from how lawmakers plan to fund it: by taxing Wall Street.

“I’m wondering here. How come the banks aren’t getting hit up? Aren’t they the ones charging student loans? Charging 7, 8, 9% for student loans. Why weren’t the colleges saying ‘Hey, why don’t we reduce the actual cost of college?’” said Matt Sapaula, the PHP Agency Inc. Chief Distribution Officer

The proposal puts a tax on trades with stocks at .5%, bonds at .1%, and derivatives at .005%. It’s a move Sapaula says will, in the end, hurt middle-class Americans. 

“So there are people who are saving, buying, selling, buying stocks, bonds, mutual funds, you can’t, you’re penalizing those who are actually buying and selling growing businesses,” said Sapaula.

Copyright 2021 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.



Food Truck Friday with Big 6 BBQ - Shannon LaNier

Weird wine creations - Adam Krueger and Hannah Trippett

$5K reward for the tiger - What would Adam do? - Watch!

"Moggy" - Adam Krueger makes up a new weather word!

Mystery Wire - Citizen Hearing on UFO Disclosure

Pairing wine with weather

Help your Neighbor

adam test 2

Houston Weather - Future Rain - Adam Krueger

Atlantic Hurricane Season - Adam Krueger

adam test

Grogan building supply

Houston Texans 2021 schedule

Houston Weather - Weekend forecast - Adam Krueger

Ohio to give $1 million to five vaccinated residents in weekly drawings

Houston Weather In One Minute - Star Harvey

Strengthen your home before a hurricane - Carrigan Chauvin

Personality Changes Due to Pandemic - Jane King

adam 6f

Houston Weather - Need Umbrellas, 10-day forecast - Star Harvey


More Featured


More Crime

Local Headlines

More Local

Don't Miss