Democrat Tim Ryan breaks with Biden over student loan debt handout, says it 'sends the wrong message'

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Cotton: Biden’s student loan handouts may be the dumbest thing yet out of this White House

Sen. Tom Cotton, R-Ark., says President Biden’s debt cancellation move is a ‘shameless bribe.’

Rep. Tim Ryan, the Democratic nominee for Senate in Ohio, said Wednesday that President Joe Biden's $300 billion student loan handout for millions of Americans at the taxpayers' expense "sends the wrong message."

In a statement shared with Fox News Digital on Wednesday, Ryan, first elected to Congress in the Buckeye State in 2002, blasted the move from Biden and expressed concern over how the decision will impact "millions of Ohioans."

"As someone who's paying off my own family’s student loans, I know the costs of higher education are too high," Ryan said. "And while there's no doubt that a college education should be about opening opportunities, waiving debt for those already on a trajectory to financial security sends the wrong message to the millions of Ohioans without a degree working just as hard to make ends meet."

Ryan, who will face off against Ohio GOP Senate nominee JD Vance in November, insisted the president should instead be working to "level the playing field" for all Americans, instead of providing handouts to "six-figure earners," so that those invested in the workforce and trade-based industries will also have a "shot at success."

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U.S. Senate candidate Rep. Tim Ryan speaks at the UAW Local 12 union rally in Toledo, Ohio, on Saturday, Aug. 20, 2022. (Bill Clark/CQ-Roll Call, Inc via Getty Images)

"Instead of forgiving student loans for six-figure earners, we should be working to level the playing field for all Americans – including an across-the-board tax cut for working and middle-class families, medical debt cancellation, targeted forgiveness for essential workers and more opportunities for student borrowers to refinance their loans, and investing in apprenticeships, universal community college, and workforce development and training programs so all Americans – not just college grads – have a shot at success," Ryan added.

Ryan's remarks came shortly after President Biden announced Wednesday from the White House that he plans to cancel $10,000 of federal student loan debt for certain borrowers making less than $125,000 per year, and up to $20,000 for Pell Grant recipients, while extending the pause on federal student loan payments through the end of the year.

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President Joe Biden announces his student loan handout with Education Secretary Miguel Cardona on Aug. 24, 2022, at the White House. (Olivier Douliery/AFP via Getty Images)

The Department of Education on Wednesday said the application for loan cancellation will become available "no later than when the pause on federal student loan repayments terminates at the end of the year."

"Earning a college degree or certificate should give every person in America a leg up in securing a bright future. But for too many people, student loan debt has hindered their ability to achieve their dreams – including buying a home, starting a business, or providing for their family," Education Secretary Miguel Cardona said in a statement Wednesday.

A sign asking President Biden to cancel student debt is posted on Pennsylvania Avenue near the White House on July 27, 2022. (Jemal Countess/Getty Images for We, The 45 Million)

"Getting an education should set us free, not strap us down! That’s why, since Day One, the Biden-Harris administration has worked to fix broken federal student aid programs and deliver unprecedented relief to borrowers," Cardona added.

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According to the Penn Wharton Budget Model, a one-time maximum debt forgiveness of $10,000 for borrowers who make less than $125,000 will cost around $300 billion for taxpayers.

Fox News' Brooke Singman contributed to this article.