A federal appeals court has allowed President Biden's student loan relief initiative, the SAVE plan, to continue while legal challenges are addressed. Under SAVE, many borrowers pay 5% of their discretionary income towards loans each month instead of the previous 10% or more, and those earning under $32,800 have $0 monthly payments. An injunction against the student debt forgiveness part of SAVE from a Missouri court remains in place. Republican-led states sued the administration, arguing the plan exceeded its authority and was trying to circumvent the Supreme Court blocking broad student debt cancellation.
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00:00It's Benzinga, and here's what's on the block.
00:02A federal appeals court has allowed President Biden's Student Loan Relief Initiative, the
00:06SAVE plan, to continue while legal challenges are addressed.
00:10Under SAVE, many borrowers pay 5% of their discretionary income toward loans each month
00:15instead of the previous 10% or more, and those earning under $32,000 have $0 monthly payments.
00:22An injunction against the Student Debt Forgiveness, part of SAVE from a Missouri court, remains
00:27in place for now.
00:28Republican-led states sued the administration, arguing the plan exceeded its authority and
00:33was trying to circumvent the Supreme Court blocking broad student debt cancellation.
00:36For all things money, visit Benzinga.com.