Supreme Court denies Biden bid to reinstate multibillion-dollar student debt plan

Democratic President Joe Biden's student debt plan was dealt a temporary defeat in the U.S. Supreme Court on Wednesday.

The "Saving on a Valuable Education" plan was a part of Biden's student loan forgiveness program, which was also defeated by the Supreme Court in 2023.

Critics of Biden's student debt plans say that loan 'forgiveness' is merely a euphemism for the debt being foisted upon the taxpayers.

It was passed in June 2023 and challenged by a lawsuit filed with the support of attorneys general from 11 Republican-led states, including South Carolina, Texas, and Florida. The lawsuit argued that the plan to forgive student debt far exceeded the repayment precedent that the Biden administration was claiming.

The Biden administration asked that the program be reinstated while the case is considered, but the court ruled that it would continue to be blocked.

A statement from some of the states in the lawsuit said that Biden's new plan was not substantively different from the debt forgiveness that the court had already ruled against.

“This current attempt to unilaterally cancel debt is every bit as unlawful as the first 12-digit effort this Court rejected," they said.

The administration disagreed.

“Our Administration will continue to aggressively defend the SAVE Plan – which has helped over 8 million borrowers access lower monthly payments, including 4.5 million borrowers who have had a zero dollar payment each month," said White House spokesperson Angelo Fernández Hernández.

"And we won’t stop fighting against Republican elected officials’ efforts to raise costs on millions of their own constituents’ student loan payments,” he added.

Critics of Biden's student debt plans say that loan "forgiveness" is merely a euphemism for the debt being foisted upon the taxpayers.

Biden had promised in the 2020 campaign that he would seek student loan debt relief, and critics on the left have lambasted him for being unable to implement his plans.

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