Generation Z: Financial News From TikTok
People in Generation Z are increasingly getting their financial news and information from TikTok. However, when it comes to student loan forgiveness, borrowers should be cautious.
Even though President Biden's student loan forgiveness plan is still facing some legal challenges, it has made a big splash in the news and it is still far from a sure thing. This is a huge relief for many students who are struggling to repay their loans, and it will also help to boost the economy by freeing up money that can be used for other purposes.
As an example, Politico reports that an organization called the Pacific Legal Foundation has filed a lawsuit stating that the relief amounts to illegal abuse of authority. The Pacific Legal Foundation's lawsuit is just the latest challenge to President Biden's student debt relief plan.
As President Biden continues to push for his student debt relief plan, there are some who are already preparing to sue over the issue. Groups like the National Association of Student Financial Aid Administrators and the American Council on Education have both said that they are considering legal action, as they believe that the President does not have the authority to forgive student loans without Congressional approval. Nancy Pelosi has also weighed in on the issue, initially saying that student loan debt could only be forgiven by Congress, but later changing her stance to say that the President does appear to have the authority to do so. It remains to be seen how this issue will play out, but it is clear that there is significant opposition to the President's plan.
Although student loan forgiveness may be celebrated by some, it could come with some unexpected costs. Some states are promising to tax forgiven loan amounts, which could result in a surprise tax bill for those impacted as early as next year. With all this in mind, celebrating student loan forgiveness could be a little premature right now, depending on who you ask.
There is no such thing as student loan forgiveness, no matter what you see on TikTok. If you're thinking about taking out loans to pay for college, be sure to do your research and understand the terms and conditions. Don't blindly believe everything you see on the internet - get a second opinion to be sure.
Beware of TikTok advice - it might not be as trustworthy as you think!
If you're looking for financial advice, TikTok may not be the best place to turn. A recent study from Vericast found that only 24% of Gen Z consumers seek advice from financial advisors, while 33% get their information from YouTube and 34% from TikTok.
It is important to be mindful of the fact that the recent surge in student loan forgiveness and the halt on payments is a one-time deal. This means that borrowers should not rely on this type of assistance in the future. Instead, borrowers should focus on responsible borrowing and repayment habits to ensure they are able to manage their student loan debt in the long-term.
The U.S. Department of Education has announced that the pause on federal student loan repayment will be extended one final time through December 31, 2022. This extension will help ensure a smooth transition to repayment for borrowers and prevent unnecessary defaults. Borrowers should expect to resume payment in January 2023.
It is good that the US Department of Education is offering a one-time debt relief program for student loans. This will help many people who are struggling to repay their loans.
It's possible that eligible borrowers won't receive the $10,000 to $20,000 in student loan debt forgiveness that they have been promised if legal challenges against Biden's student loan forgiveness plans are successful. This would be a major setback for those hoping to get their debt burden relieved, and it underscores the importance of these legal challenges.
TikTok stars who say more forgiveness is on the way are wrong.
As someone who is passionate about financial planning and helping others build wealth, I was disappointed to read this paragraph about the dangers of seeking financial advice on TikTok. While it is true that many of the people providing advice on the platform are not professional financial advisors, I believe that there are still many who are knowledgeable and trustworthy. I would urge people to be careful and do their research before taking any financial advice, but I don't think that TikTok should be completely ignored as a source of information. There are many intelligent, well-informed people on the platform who can provide helpful insights into financial planning.
As we navigate these uncertain times, it's important to be careful and make sure we are only listening to experts for guidance. With so much information being shared online, it can be easy to get overwhelmed and confused.
As a news article, I would warn readers that following bad advice about student loans could have dire consequences. People who over-borrow for their education could find themselves in a difficult situation if the additional forgiveness they were promised never comes through. I would advise readers to be cautious about following advice from sources that may not be reliable.
According to financial advisor Josh Simpson of Lake Advisory Group, no one should ever borrow money with the intent of not paying it back. This is sound advice that can help people avoid getting into debt that they may have difficulty repaying.
It's important for everyone who borrows money to understand that they will eventually need to repay the money to the lender. Student loans are no different, and there are a number of steps along the way, including entrance and exit counseling, that help ensure the borrower knows they will need to repay the loan. This knowledge is crucial in ensuring that borrowers are able to repay their loans and avoid default.
I completely agree with Scott Winstead's assessment of President Biden's student loan forgiveness plan. It does nothing to address the root cause of the problem, which is the skyrocketing cost of college. I think a better solution would be to make college more affordable for everyone, not just those who have already taken out loans.
There is no indication that future student debt will be forgiven, but Winstead says anything is possible. This is a positive development for students who are struggling to repay their loans, but it is still unclear how likely it is that this will happen.
The Bottom Line: How to be a Better Person
As an influencer on TikTok, it's important to remember that you will be ultimately responsible for repaying any student loans you take out. Both public and private student loans can be notoriously difficult to discharge in bankruptcy, so it's important to be mindful of your borrowing.
I agree with Simpson that TikTok financial advice should be taken with a grain of salt. After all, these influencers are not financial professionals. However, I do think that they can provide valuable insights and perspective for users, as long as people understand that their advice should not be taken as gospel.
I believe that everyone has the potential to be an expert in something, regardless of their experience or education. Just because someone may not have gone to school for finance or politics, doesn't mean they can't have valuable insights on the topic. We should all be open to hearing advice from anyone, because you never know where you might find a gem of wisdom.
It's important to get advice from experts who really know what they're talking about. Don't just take someone's word for it that they're an expert – make sure you check to be sure.
It's always a good idea to check someone's credentials before you take their advice, and there are plenty of free online resources you can use to do just that. Checking a person's credentials can help you decide if they're someone you can trust, and it can also give you a better idea of their qualifications.
There is a lot of financial advice out there, and it can be tough to know what to believe. The truth is, every financial situation is different, and what works for one person might not work for another. So, be careful about taking advice from anyone who doesn't really understand your unique circumstances. And be especially wary of advice that seems too good to be true - it probably is.