The appeals court ruled Friday (local time) that the project should not proceed until it rules on several states’ requests for a ban. The Biden administration plans to begin debt forgiveness soon. He said only Friday that 22 million Americans had already expressed an interest.
The six-state case against the plan was dismissed by a district judge on Thursday. They filed an appeal with the Court of Appeal – also seeking an injunction so that execution is paused until a decision is made.
The cabinet wants to partially repay the repayment of student loans. Graduates with an annual salary of less than $125,000 (almost $125,400) should be waived $10,000. For those from low-income families who received their loan from a special grant program, the exemption is as much as $20,000. According to the government, the scheme could lift 20 million highly educated people out of debt – graduates or not.
Due to the high cost of college and the high cost of living in the United States, many Americans take out a loan and begin their careers heavily in debt. With the partial debt relief, Biden is fulfilling an election promise. Republicans criticized the plan as “socialism for student loans”.
(SDA)