October 22, 2024
It Could Be Well into Next Year Before Some Student Loan Borrowers Make a Payment
After court rulings upended several student loan repayment plans and debt forgiveness, the Education Department said Monday that payments could be paused for at least six months for millions of borrowers. The department is scrambling to adjust to an injunction, in a lawsuit brought by Republican-led states, that has barred the Biden administration from moving forward with the Saving on a Valuable Education program, commonly known as Save. Biden launched the program last fall to provide borrowers with lower monthly payments and a faster path to loan cancellation. Since then, more than 8 million people have enrolled and 400,000 have already had their debts wiped away.