Joe Biden's SAVE Plan Prompts 7 More States to Sue Education Department
Seven states are taking legal action against President Joe Biden's income-driven repayment student loan plan, arguing it's unconstitutional and costly to taxpayers.
Spearheaded by Missouri, the lawsuit claims the SAVE plan could burden taxpayers with $475 billion in debt, The Hill reports.
Missouri Attorney General Andrew Bailey emphasized that the President lacks the authority to unilaterally cancel student loan debt without Congress' approval.
President Biden reintroduces a plan aimed at forgiving student loan debt, following a previous attempt rejected by the Supreme Court.
Biden envisions helping over 30 million Americans alleviate their debt burden through his proposed SAVE plan, targeting five types of borrowers.
During a speech in Wisconsin, Biden described the plan as "life-changing," emphasizing its potential to ease financial strain for many.
However, the Education Department indicates that the finalized plan is still months away from implementation, pending legal challenges and further developments.
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Joe Biden's Proposal to Ease Student Debt
President Biden unveils plans to ease student debt, addressing a concern for millions of Americans, especially young voters, according to Michigan Live.
The proposal includes canceling up to $20,000 of accrued interest for borrowers, benefiting an estimated 23 million individuals.
Progressive voters, a crucial demographic for Biden's re-election bid, have long advocated for student debt relief.
Despite previous setbacks in the Supreme Court, the Biden administration remains committed to addressing this issue.
Republicans criticize Biden's approach, labeling it as an overreach of presidential authority.
Under Biden's new plans, various categories of borrowers would be eligible for relief, including those enrolled in low-value programs or experiencing financial hardship.
The administration aims to make community college free if re-elected, further alleviating financial burdens for students.
However, critics argue that such measures transfer the debt burden onto others and fail to address the root causes of rising education costs.
Administration's Commitment to Student Debt Relief
The Biden administration continues its efforts to provide relief to student loan borrowers despite legal hurdles and opposition from Republicans, Reuters noted.
With $146 billion in relief already approved for 4 million Americans, the administration seeks to assist as many borrowers as possible.
As of June 2023, the outstanding student loan debt in the United States amounted to $1.63 trillion, highlighting the magnitude of the issue.
Education Department Secretary Miguel Cardona reaffirms the administration's commitment to delivering relief promptly, emphasizing the importance of addressing this pressing issue.
President Joe Biden's efforts to tackle student debt face legal challenges and criticism from opponents.
While his proposed plans aim to provide relief to millions of borrowers, questions remain regarding their legality and effectiveness.
As the debate over student loan forgiveness continues, the Biden administration remains steadfast in its commitment to addressing the financial challenges faced by millions of Americans.
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Written by: Ross Key
WATCH: Biden administration unveils new plan for student loan forgiveness - From NBC Bay Area