Blog.
7 Million Student Loan Borrowers Unable or Unwilling to Make Payments During the On-Ramp
12-Month On-Ramp for Federal Student Loans to Expire Soon The Department of Education's 12-month on-ramp for federal student loans expires September 30th. The on-ramp prevents the worst consequences of missed, late, or partial payments, including negative credit...
Student Loan Defaults Expected to Spike with No Relief in Sight
Court Temporarily Blocks Biden Administration's Latest Debt Relief Plan This week, a federal judge granted a temporary restraining order against the Biden administration's student debt relief plan, which may lead to record-high student loan defaults. The Department of...
Student Loan Borrowers Waiting on Court Decision after Supreme Court Denies SAVE Plan Reinstatement
Earlier this week, the U.S. Supreme Court delivered a significant blow to the Biden administration’s efforts to provide relief to student loan borrowers by denying their emergency request to reinstate the SAVE plan. The SAVE plan is an income-driven repayment option...
Supreme Court Denies to Reinstate SAVE Plan
The U.S. Supreme Court has declined the Biden-Harris administration's request to reinstate the SAVE Plan following the GOP-led lawsuit which escalated through the court system. The U.S. Supreme Court has said it expects the 8th Circuit Court of Appeals to make a final...
Student Loan Default Rates to Skyrocket if Half of Borrowers Continue Not Making Payments
The three-year COVID payment pause offered a lifeline for millions of student loan borrowers and a reprieve from student loan defaults. However, the repeated extensions and the subsequent one-year "on-ramp" period created significant confusion and uncertainty. The...
Court Extends Block on SAVE Plan
The 8th Circuit Court of Appeals has updated its temporary stay of the Saving for a Valuable Education (SAVE) income-driven repayment (IDR) plan and issued a preliminary injunction formally blocking SAVE. The Department of Education will place all borrowers currently...
SAVE Program Forbearance Period Won’t Count Towards Forgiveness
https://youtube.com/shorts/IT2Jg8GH5Ws Following several court decisions, the Education Department has suspended the SAVE program and placed SAVE borrowers into an administrative forbearance period. The SAVE program forbearance period will not count towards...
Borrowers in the SAVE Plan Will Be Placed in Forbearance While ED Fights the Court of Appeals’ Ruling
In a statement released today by the U.S. Secretary of Education Miguel Cardona, "Borrowers enrolled in the SAVE Plan will be placed in an interest-free forbearance" while the Biden Administration defends the SAVE Plan in court. SAVE, or Saving on a Valuable...
SAVE Plan Legal Challenges Continue
Student loan borrowers are confused over the SAVE plan, the new income-driven repayment (IDR) option scheduled to be fully rolled out earlier this month. The Saving on a Valuable Education (SAVE) Plan was a keystone in the Biden administration's promise to provide...
SAVE Plan Partially Blocked by Federal Court
Two federal judges have temporarily blocked parts of the SAVE student loan income-driven repayment plan. The SAVE Plan, (Saving on a Valuable Education) replaced REPAYE and was planned to be fully rolled out in July. Borrowers on SAVE can lower their monthly payments...