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Appeals court allows part of Biden student loan repayment plan to go forward

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A federal appeals court has allowed the U.S. Education Department to move ahead with a plan to lower monthly payments for millions of student loan borrowers, putting on hold a ruling last week by a lower court.

FILE - President Joe Biden speaks about student loan debt relief at Delaware State University, Oct. 21, 2022, in Dover, Del. A federal appeals court has allowed the U.S. Education Department to move ahead with a plan to lower monthly payments for millions of student loans borrowers. –

The rulings have created a difficult environment for borrowers to navigate, said Persis Yu, deputy executive director of the Student Borrower Protection Center, which advocates for eliminating student debt. The stay granted by the 10th Circuit is temporary and subject to appeal, Yu said, leaving many borrowers in the dark about future financial obligations.

 

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