Kevin O'Leary Denounces Biden's Student Debt Cancellation as "Un-American

"Shark Tank" host and investor Kevin O'Leary vehemently opposes President Biden's $7.7 billion student debt handout, characterizing it as "un-American" and "unfair" to taxpayers and those who have already paid off their loans. The latest round of forgiveness brings the total amount of student debt canceled under the Biden administration to $167 billion, benefiting nearly 5 million Americans.

"Shark Tank" star Kevin O'Leary has strongly condemned the Biden administration's recent student debt cancellation, calling it "un-American" and "unfair" to taxpayers who have not received similar benefits. The latest round of handouts, totaling $7.7 billion, is part of a larger plan to erase $167 billion in student debt for nearly 5 million Americans.

O'Leary expressed his outrage on Fox News' "The Story with Martha MacCallum," stating, "I hate this, I really, really hate this." He criticized the handouts as a betrayal of American values, arguing that individuals should be held responsible for repaying their debts.

"This is a very difficult pill to swallow for people that understand when you borrow money you have to pay it back," O'Leary said. "Particularly, for those who do not understand why a selected group of individuals in history get a free ride."

The "Mr. Wonderful" star added that he finds it unjust that taxpayers are being forced to foot the bill for wealthy college graduates who have the means to repay their loans. "I am a taxpayer, I don't like this," O'Leary said. "I don’t think it is fair. It is un-American in a sense that there are many people who have already paid back their student loans and cohorts in the past, those in the future that still may not get this."

O'Leary also questioned the timing of the handouts, arguing that they will exacerbate inflation. "Number two," he said, "There is no way this is not inflationary. This is free money from a helicopter when we are trying to tame inflation. This just makes it worse."

The Biden administration has defended the student debt forgiveness program as a necessary measure to help struggling borrowers and stimulate the economy. However, critics like O'Leary maintain that it is an unwise use of taxpayer funds and sets a dangerous precedent.

According to the White House, the latest round of handouts targets borrowers who meet specific criteria, including those receiving Public Service Loan Forgiveness (PSLF), those signed up for President Biden's Saving on a Valuable Education (SAVE) Plan, and those receiving forgiveness on income-driven repayment (IDR) plans.

The Biden administration has also taken steps to increase the maximum Pell Grant and protect borrowers from predatory career programs. However, opponents argue that these measures do not justify the wholesale cancellation of student debt.

O'Leary warned that the student debt handouts could have political consequences, potentially alienating independent voters who view them as unfair. "This cohort in the late twenties and early thirties, they have the propensity to vote the least," he observed. "But also, think about the people who look at this and say it is unfair, and politically say I don’t like this, and I’m an independent and this is the fourth time I think we had our forgiving debt and I don’t understand why these people got their debt paid back where nobody else did."

In addition to the loans cleared under specific programs, the Biden administration has approved $28.7 billion for borrowers who were deceived by their schools and $14.1 billion for borrowers with a total and permanent disability.

Last year, the Supreme Court ruled against the Biden administration's previous attempt to cancel student debt, which would have impacted a wider range of borrowers. However, the President has continued to push for student debt relief, facing lawsuits from Republican-led states.