Supreme Court keeps Biden's SAVE plan on ice. Here's what that means for people with student loans.
CBSN
When President Joe Biden unveiled his administration's new student debt repayment plan a year ago, he heralded it as "the most affordable student loan plan ever." Now, it also may qualify as one of the most stymied repayment plans ever created.
The Supreme Court on Wednesday declined to reinstate the program, called the Saving on a Valuable Education (SAVE) plan, as an appeals process over its legality plays out.
The SAVE plan was created to fix some long-standing problems with earlier income-driven repayment plans, or IDRs. It also debuted a month after the Supreme Court blocked Mr. Biden's plan to erase up to $20,000 in debt per student borrower. Because SAVE also promises to lower monthly loan payments — to as low as $0 for some low-income borrowers— it proved immediately popular and today has 8 million enrollees.
