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Student loan forgiveness is a trap. Once the distributions have been made to the banks, the original borrower now has to pay 50% tax on that distributuon as income, and they have to pay ALL of it this year (instead of the original 10 year payment plan). If they can't pay the $5000 lump sum they now owe the IRS, they can finance that through the IRS at current interest rates, or they can default, which will destroy their credit for the next 10 years and put them in a high risk audit catagory. And the IRS WILL garnish their wages during that time until the $5k paid off.Plus this only covers $10,000 of the total loan so the borrower still has all the regular payments on the rest of the loan. I suppose they can re-negotiate the payment plan with their bank based on the new total balance, but that refinanced amount will be at the new MUCH higher interest rates today than when they graduated. So their total payments might go UP depending on the total remaining amount they owe. The government transferred 100% of the forgived debt to the tax base, the bank gets a massive bailout of new cash, and they charge the bill to taxpayers, while screwing over the original borrower who now owes the remainder of the loan to the bank, and half the forgiven amount to the IRS, and has destroyed credit, and even higher burden on the remaining debt. Nice deal. Everyone gets screwed except government and the banks.The whole reason for this is because the banks can't hold such low interest rate loans when inflation is running at over 10%. They NEED to refinance those loans at current interes rates, or they're losing buying power at >10% per year. The banks are trying to trick people into taking the loan forgiveness (which is actually a bank bailout) so they can lock in higher interest rates on the remaining debt.DONT FALL FOR IT. ITS NOT FREE MONEY.