WASHINGTON – The Supreme Court on Wednesday rejected the Biden administration’s request to allow a student debt relief plan to remain in effect while its legality is being challenged by Republican-led states.
The plan, which lowers monthly payments and leads to faster debt forgiveness for some borrowers, was blocked by a federal appeals court this summer.
The St. Louis-based 8th U.S. Circuit Court of Appeals said that the cost of the plan – expected to provide hundreds of billions of dollars in debt relief over the next ten year – is evidence that the Department of Education exceeded its authority in setting repayment terms.
The Biden administration’s lawyers argued it followed the law and the appeals court’s “extraordinary…
