Last week the US Supreme Court handed down a number of high-profile decisions, including one dealing with the Biden Administration’s student loan forgiveness plan. On a six to three vote, the high court determined the administration had overstepped its authority with the plan and had “seiz[ed] the power of the legislature” by trying to cut the debt of more than forty million people. Political pundits say this ruling is a setback for Biden in his bid to lure young voters for the 2024 election.
This decision provides a great opportunity for family discussions about financial stewardship. Teens need to understand borrowing, interest, and repayment schedules. They also need to understand personal responsibility and that loan forgiveness means someone else is paying the debt or the lender is taking the hit. There’s no truly free ride. Someone is always paying.
