Supreme Court’s Student Loan Forgiveness Decision to Hurt Retailers

The Supreme Court’s decision to strike down President Joe Biden’s student loan forgiveness plan is expected to have a significant impact on retailers.

The plan, which would have canceled up to $10,000 in student loan debt for borrowers earning less than $150,000 a year, was seen as a boon for retailers, who rely on student loan borrowers as a major source of customers.

Now that the plan has been struck down, retailers are bracing for a decline in spending from student loan borrowers. A recent survey by the National Retail Federation found that 38% of student loan borrowers said they would spend more money if their student loan debt was forgiven.

The impact of the Supreme Court’s decision is likely to be felt most acutely by retailers that sell discretionary items, such as clothing, electronics, and travel. These retailers are already facing headwinds from rising inflation and supply chain disruptions. The loss of student loan borrowers as customers could make it even more difficult for these retailers to stay afloat.

The Supreme Court’s decision is also a setback for the Biden administration, which had made student loan forgiveness a key priority. The administration is now considering other options for student loan relief, but it is unclear whether any of these options will be as effective as the original plan.

Here are some of the key points of the article:

• The Supreme Court’s decision to strike down President Biden’s student loan forgiveness plan is expected to have a significant impact on retailers.
• Retailers rely on student loan borrowers as a major source of customers.
• A recent survey found that 38% of student loan borrowers said they would spend more money if their student loan debt was forgiven.
• The impact of the Supreme Court’s decision is likely to be felt most acutely by retailers that sell discretionary items.
• The Supreme Court’s decision is a setback for the Biden administration.