Appeals Court Blocks More Of Biden’s Student Loan Forgiveness Plan

A federal court of appeals has blocked President Joe Biden and his administration from implementing student debt relief designed to lower payments for borrowers.

The 8th U.S. Circuit Court of Appeals sided with the seven Republican states who brought the case to stop parts of the U.S. Department of Education’s debt relief plan that were not previously blocked by a lower court, Reuters reported.

That ruling last month by U.S. District Judge John Ross in St. Louis had blocked the department from granting further loan forgiveness under the administration’s Saving on a Valuable Education (SAVE) Plan but had not blocked all of the plan.

That plan provides more generous terms than past income-based repayment plans, lowering monthly payments for eligible borrowers and allowing those whose original principal balances were $12,000 or less to have their debt forgiven after 10 years.

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