Courts Halt Key Provisions of Biden's Student Loan Relief Plan

Federal judges block major elements of the SAVE plan, creating uncertainty for millions of borrowers as legal battles continue.

Two federal judges issued preliminary injunctions against the SAVE plan, affecting repayment terms and loan forgiveness.
The SAVE plan, introduced by President Biden, aimed to cut monthly payments and provide faster loan forgiveness for borrowers.
Judges in Kansas and Missouri ruled the plan overstepped the Education Department's authority without clear Congressional authorization.
Borrowers currently enrolled in SAVE can remain, but new lower payment features are paused and forgiveness is blocked.
The Biden administration plans to appeal the decisions, leaving the future of the SAVE plan and other loan forgiveness programs uncertain.