Biden administration approves applicants for loan relief under pending program appeal

The Biden administration has begun contacting students who have been approved for student debt relief, CNN reported. Saturday. The move follows the administration’s request to the Supreme Court to lift the nationwide injunction on the loan relief program.

According to emails acquired by CNN, the Secretary of the Ministry of Education, Miguel Cardona, sent emails on Saturday to those who have been approved for debt relief. The administration’s student loan debt relief program has faced numerous legal challenges since its launch last month, which Cardona addressed in the emails.

“Unfortunately, a number of lawsuits have been filed challenging the program which has blocked our ability to pay your debt at this time. We strongly believe the lawsuits are without merit and the Department of Justice has appealed on our behalf,” Cardona said in the emails to students approved for loan relief, CNN reported.

The highly anticipated Student Loan Forgiveness Program offers $10,000 in federal student debt forgiveness to qualified borrowers. But the government stopped accepting applications on November 10 after a Texas federal judge canceled the plandeeming it “unconstitutional”.

“We strongly believe that the Biden-Harris student debt relief plan is legal and necessary to give borrowers and working families breathing space as they recover from the pandemic and to ensure they succeed. when the refund restarts,Cardona said in a recent Press release.

According to Associated Press, the 8th Circuit Court of Appeals issued a nationwide injunction to the plan earlier this week after six Republican-led states challenged the plan. The Department of Justice filed a request on behalf of the Biden administration on Friday, asking the Supreme Court to lift the blockade on the plan while legal proceedings unfold.

“The flawed Eighth Circuit injunction leaves millions of economically vulnerable borrowers in limbo, uncertain about the size of their debt and unable to make financial decisions with an accurate understanding of their future repayment obligations,” Solicitor General Elizabeth Prelogar said in the request sent to court.

Prelogar urged the court to accept the appeal, warning that a continued suspension of the program could lead to further uncertainty for borrowers over the next two years.

Data shows that 43.4 million people are facing student loan debt. According to Department of Education, 26 million people have submitted applications for Biden’s loan forgiveness program. In August, Biden announced the plan, which fulfilled a promise he had made during his presidential campaign.

The plan drew praise from thousands of people after it was launched in October. But in the months leading up to the launch, criticism also arose from Republicans who called the plan a unfair distribution.


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