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Billionaire to pay Off Student Loans…in the USA Wows Students

Morehouse College seniors got a surprise Sunday when billionaire investor Robert F. Smith announced during his commencement speech that he would pay off the student loan debt for the historically black college’s graduating class.

“On behalf of the eight generations of my family who have been in this country, we’re going to put a little fuel in your bus,” he told the newly minted graduates in Atlanta before saying his family was creating a grant to eliminate their student loans.

The announcement was met with a standing ovation and chants of “MVP!”

“Now, I know my class will make sure they pay this forward,” he continued. “I want my class to look at these (alumni) — these beautiful Morehouse brothers — and let’s make sure every class has the same opportunity going forward because we are enough to take care of our own community. We are enough to ensure we have all the opportunities of the American dream.”

The exact amount to be covered for the 396 students is still being calculated, school President David Thomas told CNN on Monday, but the sum will likely be in the tens of millions of dollars. Thomas called Smith’s gesture “a liberation gift.”

“When you have to service debt, the choices about what you can go do in the world are constrained,” he said. “(Smith’s gift) gives them the liberty to follow their dreams, their passions.”

Students say they’re overwhelmed with gratitude

Students couldn’t believe their ears when Smith made the announcement, graduates of the all-men’s college told CNN.

“We’re looking at each other like, ‘Is he being serious?’ That’s a lot of money,” salutatorian Robert James, 21, said.

Jonathan Epps, 22, said Sunday afternoon he still hadn’t fully grasped the magnitude of the “tremendous blessing,” which he called the kindest, most generous thing he’d ever witnessed.

“It’ll sink in as the years go on. I know that for a fact,” he said. “I still don’t really have words. … It makes a great day just that much better.”

Epps said he has about $35,000 in student loan debt that his parents in Pleasanton, California, had pledged to help him pay off. He couldn’t wait to break the news to them, he said.

A classmate, Elijah Nesly Dormeus, is the first of nine kids to graduate college. His mother made many sacrifices working minimum-wage jobs to provide for him and his eight siblings after Dormeus’ father died when he was 5.

In addition to the 22-year-old New Yorker’s own $90,000 debt, he said his mother took out a loan to help get him through school.

“All her serving, all her giving was not in vain,” Dormeus said when asked what Smith’s gift meant to his family.

Art major Charles Releford III also has numerous siblings, and his mother, Tonga, wants them all to be part of the “Spelhouse family,” meaning they hope to attend Morehouse or the nearby all-women’s Spelman College.

“For me, the parent of four, it opened up so many opportunities for the younger siblings of the Releford family,” she said.

Charles Releford said he’d accumulated about $70,000 in loan debt during his time at Morehouse, and though the aspiring illustrator doesn’t have a job lined up, he was already thinking about how he would pay back the money.

After Smith’s announcement, though, “I’m really excited to see where my life can go now because all different avenues are open now so I’m not held down. There’s no burden, student loans — I’m debt-free,” Releford said.

Smith has made many other charitable donations

The students’ benefactor also received an honorary degree Sunday, along with actor Angela Bassett and psychologist Edmund Gordon.

The entrepreneur, founder of the investment firm Vista Equity Partners, is worth about $5 billion, according to Forbes, which reports he is the richest black person in America.

The 56-year-old Smith was a chemical engineer for Goodyear and Kraft before attending business school. He worked for Goldman Sachs, specializing in technology investments, before starting Vista Equity in 2000.

Vista Equity invests solely in software, data, and technology companies and boasts capital commitments of $46 billion, the company’s website says.

Smith has quite the generous streak. In 2016, Cornell University, one of his alma maters, renamed its chemical and biomolecular engineering school in honor of the Austin, Texas, investor after he committed to donating $50 million to the school. He’s also donated millions to cancer research and the arts.

His Fund II Foundation provides grants under five pillars: preserving the African-American experience, safeguarding human rights, conserving the environment, providing music education and sustaining “critical American values such as entrepreneurialism,” the organization says.

In 2017, Smith signed the Giving Pledge, an effort spearheaded by billionaires Warren Buffett and Bill and Melinda Gates to convince wealthy Americans to give away half of their fortunes.

In signing the pledge, Smith said he would focus on causes that support equality for black Americans and the environment. His wife, model Hope Dworaczyk Smith, will focus on helping children, he wrote.

“I will never forget that my path was paved by my parents, grandparents and generations of African-Americans whose names I will never know,” Smith said. “Their struggles, their courage, and their progress allowed me to strive and achieve. My story would only be possible in America, and it is incumbent on all of us to pay this inheritance forward.”

This story has been updated to reflect that the total amount Smith will pay is still being determined.

CNN’s George Howell contributed to this report.

 

(Source: CNN)

13 Comments

  1. Jms

    Cheers may God be praised

  2. Escape from Sobibo

    Job well done ,,here in Zambia the so called billionaires the HH can’t even assist you K50 shame

    • Mr peace

      This tells more about people who did not become accidentally rich.Such people have the power to tellmoney what to do and not money telling them what to do.People who understand the characteristics of money.Not people who think that when you are rich you should aspire for presidency even when you don’t understand civic leadership…..More blessing my name sake…May our good Lord refill the emptying.

  3. muntungwa

    Escape from Sobibo you are spot on. Ours cannot even spare a ten Kwacha. All they know is politicking at the expense of their poor compatriots. Shame!!! God bless Bob Smith.

  4. F7

    This is a lesson to everyone, learn from Smith,don’t just waste money in things that don’t even matter,help the needy

  5. THE REGULATOR

    F7, you are very right.We are infact poor because the rich have folded their arms to such.We have people with serious problems but no matter how one cries. Nothing.This is both unbelievable and appreciatable.

  6. Dr. Zimba Emmanuel.

    I like this spirit. The kingdom of God is yours. And you are like a sheep in the right hand of God. You are not a goat. GOD bless you abundantly.

  7. Alu.B

    This is how God wants people to live!Thumbs high 🤟🤟to Bob Smith’s gesture!!!

  8. kalyabunga

    charles chanda, hh

  9. bricks

    In Zambia, one would prefer buying a private jet at the expense of the majority poor citizens.

  10. LN

    In most cases when a rich man dies, his wealth is squandered by the people he never expected. It’s wise to spend your wealth while you’re alive on God’s work (evangelism) and help the poor have have some decent life. Let our generally rich but proud and greedy in Zambia learn from Smith. God bless you Smith.

  11. King

    HH recently belt a clinic in Chipata. Who is saying that he is selfish?

  12. Angoni

    HH must learn something there. if it wasnt for his tribe that man would have been getting zero votes.

Comments are closed.