Republicans have accused Joe Biden of "bribing young voters" after vowing to cancel student loan debt ahead of the upcoming election.
Economists have warned that the proposals could be "disastrous" for the US economy.
The Biden administration announced that they would forgive as much as $20,000 in debt for some borrowers despite the Supreme Court rejecting the plan last year.
It is estimated to impact 30 million borrowers when combined with efforts already taken to cancel $146billion for four million borrowers.
Republicans have accused Joe Biden of "bribing young voters" after vowing to cancel student loan debt ahead of the upcoming election
ReutersSpeaking to a community college in Madison, Wisconsin on Monday, the president said: "Starting this fall we plan to deliver up to $20,000 in interest relief to over 20 million borrowers and full forgiveness for millions more."
His announcement has been met with criticism from Republicans, who have slammed his plans as a "zombie comes back to life".
Senator Joni Ernst said: "The Biden administration is bribing young voters instead of equipping Americans to know the true cost of college.
"Look no further than the students struggling to find out if they can afford higher education and the Iowa families whose farms count against them thanks to the Biden administration’s fumbled FAFSA rollout."
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Ernst added that instead of focusing on fixing "his FAFSA fiasco", Biden is "resurrecting his billion-dollar bailout."
Republican Senator Tom Cotton wrote on social media: "Once again, President Biden is ignoring the Supreme Court and shamelessly raiding the treasury to transfer billions in student loan debt to taxpayers. He's using your money to buy votes."
Economist EJ Antoni told Fox News: "We cannot continue spending, borrowing, printing money and over-regulating at the pace we've seen during the Biden administration and expect anything other than disaster in the long term."
Discussing accusations of Biden "bribing young voters", he added: "The president continues to underperform with that cohort of voters because his economic policies have been disastrous for them, especially in regards to the fact that many of them will never be able to buy a home."
Economists have warned that the proposals could be "disastrous" for the US economy
BidenRepublican Texas Congressman Dan Crenshaw accused Biden of "desperately trying to deceive voters with 'free stuff' he can’t deliver on."
He posted online: "His original student loan bailout was struck down by the Supreme Court- even some of his smaller student loan giveaways have run into legal obstacles. So why do this now?
"The timing suggests he hopes the Supreme Court won’t have time to reject his plan before its term ends- giving voters the illusion that he is delivering for them."