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Student-loan borrowers should not resume payments in January after federal courts have blocked the relief, advocates say
Business Insider ^ | 11/14/22 | Ayelet Sheffey

Posted on 11/15/2022 9:19:04 AM PST by Libloather

Student-loan borrowers are at risk of resuming student-loan payments in under two months without the debt relief they were promised.

Just over a month after President Joe Biden announced up to $20,000 in student-debt cancellation at the end of August for federal borrowers making under $125,000 a year, he made available an online application for borrowers to apply for the relief. Since then, 26 million borrowers have submitted forms to get the relief — but due to decisions from federal courts, those borrowers are now in legal limbo.

On Thursday, a federal judge in Texas sided with two student-loan borrowers who sued Biden's loan forgiveness because they didn't qualify for the full amount of relief, blocking the plan from being implemented as Biden's Justice Department appeals the decision. On Monday, the 8th Circuit Court of Appeals ruled that the temporary paused it placed on Biden's debt relief will remain in place, following a lawsuit filed by six Republican-led states who sued because they argued the relief would hurt their states' tax revenues. The administration will likely appeal this decision as well.

These legal challenges could delay the implementation of Biden's debt relief for months - potentially extending into next year, when student-loan payments are scheduled to resume. Advocates say that can't happen.

"It is shameful, but not surprising, that a federal judge would side with the MAGA Republicans who appointed him, rather than the 26 million borrowers who have applied for life-changing loan forgiveness," Randi Weingarten, president of the American Federation of Teachers, told Insider. "And it is telling that the special interests fighting forgiveness in this case were nowhere to be seen when President Trump suspended payments at the height of the pandemic."

"Alongside an appeal in this case, the administration should also consider further mechanisms to promote fairness...

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; Conspiracy; Education; History
KEYWORDS: federal; insurrection; loan; payments; student
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To: Libloather

It was always a scam to collect addresses of democrat voters to send ballots to. Then follow them with a collector to pick them up.


21 posted on 11/15/2022 3:59:53 PM PST by krizzy (Never underestimate Joes ability to F things up. )
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