U.S. appeals court blocks Biden SAVE plan for student loans

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U.S. appeals court blocks Biden SAVE plan for student loans

US President Joe Biden speaks about student loan debt relief at Madison Area Technical College in Madison, Wisconsin, April 8, 2024. 

Andrew Caballero-Reynolds | AFP | Getty Images

A U.S. appeals court on Tuesday blocked the Biden administration’s student loan relief plan known as SAVE, a move that will likely lead to higher monthly payments for millions of borrowers.

The 8th U.S. Circuit Court of Appeals sided with the seven Republican-led states that filed a lawsuit against the U.S. Department of Education’s plan. The states had argued that former President Joe Biden lacked the authority to establish the student loan relief plan.

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