U.S. President Joe Biden speaks during an event in Madison, Wisconsin, on Monday, April 8, 2024. Handing the Biden administration an unexpected win amidst a legal back-and-forth, a court over the weekend agreed to let the Education Department continue implementing the final phases of a student loan repayment plan that will lower people’s monthly bills.
U.S. President Joe Biden speaks during an event in Madison, Wisconsin, on Monday, April 8, 2024. After the Department of Justice filed an emergency motion on Friday, the U.S. Court of Appeals for the 10th Circuit reversed the lower court’s ruling, allowing the Biden administration to proceed with the payment cut. Debt relief remains on pause.
“Borrowers will hear directly from their loan servicers and the Department as we implement the new, lower monthly payments for borrowers enrolled in SAVE,” Cardona said.Due to the rush to adhere to evolving court decrees, some borrowers might have already been placed on a payment pause when the court reversed the ruling.
“I've been keeping up as best I can, given all of the sudden shifts,” he said. Lopez said he was relieved to see that the SAVE Plan could go forward and his monthly payments would fall but that the pattern of court decisions halting student loan policies has made him permanently wary.“I'm happy about it and at the same time still anxious over the whole thing.