Education Department

Millions of student-loan borrowers have faced legal whiplash over the past 24 hours.A Missouri judge blocked Biden from carrying out his broader debt relief plan just hours after receiving the case.The ruling came before the Education Department had even published the final rule for the debt relief. Thanks for signing up! Access your favorite topics…

The legal setbacks keep coming for millions of federal student-loan borrowers.On Thursday, Georgia's southern district court placed a temporary restraining order on President Joe Biden's second try at broader student-loan forgiveness using the Higher Education Act of 1965.This order comes just two days after a group of seven GOP state attorneys general filed a lawsuit…

On Tuesday, seven GOP state attorneys general filed a lawsuit in the Southern District of Georgia to block Biden's second try at debt relief using the Higher Education Act of 1965.The lawsuit is targeting the plan the Education Department announced last summer after the Supreme Court struck down Biden's first attempt at broad debt relief.…

After federal student-loan payments resumed in October 2023 after an over three-year pause, President Joe Biden's Education Department implemented a 12-month on-ramp period, during which the department would not report any missed payments to credit agencies.That meant that while interest was still accruing on borrowers' balances if they missed payments, they would not take any…

On Friday, the 8th Circuit Court of Appeals placed a preliminary injunction on President Joe Biden's SAVE income-driven repayment plan, intended to lower monthly payments and shorten the timeline for relief for the 8 million borrowers enrolled.If this sounds familiar, that's because it is: on July 18, the 8th Circuit placed a temporary stay on…

Last week, the department announced it would be sending emails to all student-loan borrowers with at least one outstanding federal loan to update them on President Joe Biden's plan to cancel student debt using the Higher Education Act of 1965.Expected to benefit over 30 million borrowers, the plan would cancel some or all student debt…

The Education Department has updates on the next steps for student-loan borrowers enrolled in President Joe Biden's new repayment plan.On July 18, the 8th Circuit Court of Appeals ruled that the SAVE income-driven repayment plan, intended to lower borrowers' monthly payments and give them a shorter timeline for debt cancellation, was blocked in its entirety…

Another student-loan payment pause is here for millions of borrowers.On Thursday, the 8th Circuit Court of Appeals blocked the SAVE student-loan repayment plan in full, meaning that key provisions of the plan, like lower monthly payments and a shorter timeline to debt cancellation, cannot be implemented.It's the latest in the legal rollercoaster for borrowers —…

On Thursday, President Joe Biden's Education Department announced that it approved $1.2 billion in student-loan forgiveness for 35,000 public service workers.The relief is a result of ongoing fixes to the Public Service Loan Forgiveness program, which forgives student debt for government and nonprofit workers after 10 years of qualifying payments. Specifically, according to the department,…

On Wednesday, the Justice Department released an update on bankruptcy for borrowers following new guidance it released in 2022. According to the department, 588 new cases were filed from October 2023 to March 2024, marking a 36% increase from the prior 6-month period. Most of those borrowers have also seen success in court — per…