Federal Judge Clears Path for Part of Biden’s Student Loan Plan

Published On Oct 3, 2024, 4:30 PM

A federal judge in Georgia has temporarily allowed the Biden administration to proceed with a student debt relief program affecting over 27 million borrowers. The ruling provides a reprieve as the case moves to another federal court in Missouri, where the program could still be challenged. The program, estimated to cost around $147 billion, aims to forgive debt for borrowers who have faced long-term financial struggles or missed other relief opportunities. This decision is significant as previous attempts at mass debt cancellation have faced legal hurdles, including challenges from Republican state attorneys general who argue the program could affect state tax revenues and loan servicers.