Top Hispanic-Americans advocacy group: Government shouldn't transfer student loan debt to taxpayers

A leading advocacy group for economic prosperity for Hispanics is opposing President Biden's cancellation of student loan debt for some people in the U.S., saying the move is just "transferring the financial burden of student loans to taxpayers."

"The government should not be in the business of transferring the financial burden of student loans to taxpayers and do nothing to address the root issue of escalating college tuition costs," Daniel Garza, president of the LIBRE Initiative, said Thursday, after Biden made the announcement. 

"Instead of subsidizing student loans with taxpayer dollars, policymakers should systemically alter how students finance their postsecondary education."

Garza also said about Biden cancelling as much as $20,000 in student loan debt for some Americans: "For many Latinos obtaining an undergraduate degree is a dream come true. Other Latinos meanwhile have been able to start a business, perfect their trade and launch a career all without a university degree."

The group also points to analysis by the Brookings Institution that shows Hispanics and Latinos make up just 9% of the U.S. population, but hold only 6% of student debt.

According to a recent The Economist/YouGov poll, 33% of Latinos have already paid off their student loans, while 54% said they never had any, compared to 13% who still have student debt.