Shortly after U.S. President Joe Biden unveiled his plan for student loan forgiveness in August 2022, the right-leaning online publication National Review reported in an article published on Aug. 24 that House Speaker Nancy Pelosi said the president lacks the authority to forgive student debt.
During a weekly news conference held on July 28, 2021 (archived here), Pelosi was asked to explain why the Biden Administration and Democrats in Congress were pushing for student loan debt forgiveness and cancellation, she replied:
Here's the thing. People think that the President of the United States – is this more on the subject than you ever want to know? Well, you'll let me know. People think that the President of the United States has the power for debt forgiveness. He does not. He can postpone. He can delay. But he does not have that power. That has to be an act of Congress. And I don't even like to call it forgiveness because that implies a transgression. It's not to be forgiven, just freeing people from those obligations.
So, the question of who gets forgiven – to use the term of art that is out there – is a debate. Do we use whatever money there is for the broadest base of support of the, those with – more people with even less debt, or fewer people with more debt? That's a policy discussion.
But the difference between the President – the President can't do it. So that's not even a discussion. Not everybody realizes that. But the President can only postpone, delay, but not forgive.
Nevertheless, U.S. President Joe Biden announced that he would be using executive action to push forward a student loan forgiveness plan that allowed up to $20,000 in student debt cancellation for qualified borrowers, following up on promises made on the 2020 campaign trail. At the time of this writing, it’s not yet clear how exactly that forgiveness plan would work, and, as The Associated Press reported, it will likely face legal challenges in the months to come. The three-part plan has not officially been executed and specifics haven’t been released.
Because Pelosi did, in fact, state that the president does not “have the power for debt forgiveness,” we have rated this claim as a “Correct Attribution.”