Blog.
On-Ramp Ends and Biden’s “Plan B” Student Debt Relief Plan Blocked (Again)
The federal student loan "on-ramp" period officially ended at midnight on September 30. This on-ramp gave borrowers 12 months to adjust to making their student loan payments without negative consequences for missed payments. Many Student Loan Borrowers Did Not Make...
The End of the Student Loan On-Ramp: A Warning for Financial Aid Directors
The 12-month federal student loan on-ramp ends on Monday, September 30th. The on-ramp was intended to give borrowers a year to find sustainable repayment plans following the three-year COVID payment pause. Repayment officially resumed on October 1, 2023, with bills...
Student Debt Relief Unlikely Before Election
The temporary restraining order (TRO) blocking the Biden administration's student debt relief plan has been extended by a federal judge this week. The original order was issued on September 5th following a lawsuit filed by seven GOP-led states attempting to block the...
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...