Sanders proposes canceling $1.6 trillion in US student debt

Sen. Bernie SandersBernie SandersTech firms face skepticism over California housing response Press: Another billionaire need not apply Ex-Massachusetts Gov. Deval Patrick mulling 2020 run: report MORE (I-Vt.), a top-tier 2020 presidential candidate, rolled out legislation on Monday to cancel $1.6 trillion in outstanding student debt for 45 million borrowers. 

The legislation, which is being co-sponsored by Reps. Ilhan OmarIlhan OmarSanders 'very concerned about what appears to be a coup' in Bolivia Overnight Defense: Protests at Trump's NYC Veterans Day speech | House Dems release Pentagon official's deposition transcript | Lawmakers ask Trump to rescind Erdogan invite Ilhan Omar blasts Pete King as an 'Islamophobe' after he announces retirement: 'Good riddance' MORE (D-Minn.) and Pramila JayapalPramila JayapalProgressive House Democrat unveils bill to allow state-based 'Medicare for All' Progressives press Democrats to rethink Israel policy Democratic lawmakers call on Judiciary Committee to advance 'revenge porn' law MORE (D-Wash.), a co-chair of the Congressional Progressive Caucus, also calls for public universities, community colleges and trade schools to go tuition free. 

The bill will also propose absolving student debt for undergrad and graduate students. 

A Wall Street tax, which would include taxes on stock transactions, bond trades, and derivatives transactions, will pay for the legislation by collecting $2 trillion over a decade. 

"During the financial crisis, Wall Street received the largest taxpayer bailout in American history. Now it is Wall Street’s turn to help rebuild the disappearing middle class," Sanders tweeted on Monday. 

 

 

News of the legislation was first reported by The Washington Post on Sunday. 

Sanders's presidential primary opponent and fellow progressive Sen. Elizabeth WarrenElizabeth Ann WarrenOvernight Energy: BLM staff face choice of relocation or resignation as agency moves | Trump says he's 'very much into climate' | EPA rule would expand limits on scientific studies Krystal Ball credits Gabbard's upswing in 2020 race to 'feckless' Democratic establishment Outsider candidates outpoll insider candidates MORE (D-Mass.) announced legislation earlier this month to wipe out nearly all student loan debt in the country. 

Warren's plan would forgive up to $50,000 in student loan debt for anyone with a total household income below $100,000.

Through Warren's plan, a wealth tax would pay for debt forgiveness. 

The two senators' plans to combat student debt could be targeted at the progressive wing's generally young base, grappling with student debt.