Federal Courts Block Key Provisions of Biden's Student Loan SAVE Plan

Approximately 3 million borrowers will see their payments paused as the Biden administration appeals the rulings.

Judges in Kansas and Missouri issued preliminary injunctions against major elements of the SAVE plan.
The rulings prevent new debt cancellations and lower monthly payments set to start July 1.
The Department of Education has placed affected borrowers on administrative forbearance.
The Biden administration argues the SAVE plan is essential for affordable repayment and plans to appeal.
Some SAVE provisions, such as increased income exemptions, remain in effect.