The U.S. Supreme Court declined on Wednesday to revive President Joe Biden’s student debt relief plan, giving a boost to Republican-led states that have sued to block it.
The justices rejected the administration’s request to temporarily lift a judicial decision that paused the plan, which is designed to lower monthly payments for millions of borrowers and speed up loan forgiveness for some.
Following the Supreme Court’s June 2023 decision blocking Biden’s earlier plan to cancel hundreds of billions of dollars in debt, his administration said it would continue providing student debt relief to as many borrowers as possible.
The White House in August 2023 launched a policy called the Saving on a Valuable Education, or SAVE, plan, which it touted as “the most affordable repayment plan ever created.”
The plan would cut monthly college undergraduate loan payments from 10% to 5% of a borrower’s discretionary income, which would save the typical borrower around $1,000 a year, according to the White House.
Other benefits of the plan include a pause on payments by borrowers making less than $32,000 per year u
