An estimated 16 million federal student loan relief applications have been processed and are expected to be approved by the end of this week. the White House said ThursdayHowever, it is not yet clear when or if the pardon will actually take place due to court orders.
Conservative and libertarian groups have filed numerous lawsuits against President Joe Biden’s plan to cancel up to $10,000 to $20,000 in student loans to federal borrowers.
While several lawsuits have been dismissed for lack of evidence, conservative nation group We were able to put the program on hold About two weeks ago at the United States Court of Appeals for the Eighth Circuit Nebraska v. BidenStates and the Biden administration filed briefs last week outlining their respective sides in the legal battle.
While the administration is temporarily barred from actually forgiving debt under the relief program, the Department of Education is allowed behind the scenes to process applications and prepare the forgiveness program.
“That’s 16 million Americans so far that should ease student debt in the coming days.” Biden said Thursday“But that bailout is on hold, because Republican elected officials are doing everything they can to deny it, even to their own voters.”
The White House said 26 million people have applied for relief since 26 million The application was published in mid-OctoberIn total, approximately 40 million borrowers are believed to be eligible for the waiver.
of Application for forgiveness remains openHowever, the Federal Student Aid site still has a court-ordered disclaimer.
“Debt forgiveness processing is temporarily blocked. If you are eligible, we encourage you to apply.” site read“We will continue to review your application. If possible, we will process your discharge as soon as possible. There is no need to reapply.”
In a separate lawsuit, two student loan borrowers asked the Supreme Court to block the program. A similar request has already been dismissed by Justice Amy Coney Barrett, but no decision has been made on the latest request.
This story was originally Fortune.com
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