Staff Reports
The Biden administration’s ambitious student debt relief program continues to be thwarted, thanks to the U.S. Court of Appeals for the Eighth Circuit. Recently, the court extended its earlier pause on the Saving on a Valuable Education (SAVE) plan, leaving the White House scrambling for a backup plan—preferably one that doesn’t involve legal gymnastics. With Vice President Kamala Harris trying to woo youth voters ahead of the upcoming presidential campaign, this legal setback couldn’t come at a worse time.
For those not keeping track, the Biden administration has been on a mission to alleviate student debt through various programs. Unfortunately for the White House, this mission has faced serious legal turbulence every step of the way. The SAVE plan, introduced earlier this year, designed to lower monthly payments based on income and cut down on interest payments, is now caught in the crossfire of a legal battle that has more twists and turns than a soap opera.
Federal appeals court blocks all of Biden's student loan debt handout plan | Fox Business
The ruling comes after a lower court judge blocked portions of Biden's student loan handout last month
A federal appeals court on Thursday issued a ruling that blocks the Biden… pic.twitter.com/YOqWWAVMhS
— Owen Gregorian (@OwenGregorian) July 19, 2024
Several GOP attorneys general are making it their mission to challenge the legality of the SAVE plan, arguing that the federal government doesn’t have the unilateral authority to create such sweeping changes to student loan repayment. When the case landed in the Eighth Circuit, the judges wasted no time in granting a preliminary injunction, effectively putting the brakes on Biden’s plans until the courts can sort out the chaos. It seems like the administration has crashed into the courtroom wall on this one.
The most recent court ruling simply extends the pause, casting further doubt on the viability of Biden’s student debt relief efforts. A panel of three judges deemed the administration’s approach a “vast assertion of newfound power,” hinting that they feel the Biden administration may be tripping over its constitutional boundaries. This isn’t just a minor speed bump; it’s more like a major highway blockade that could stretch for miles, especially with the legal proceedings expected to drag on for months.
While the Biden administration continues to spin its wheels in the legal swamp, the ticking clock isn’t in its favor. The likelihood of a favorable ruling seems dim, and the ramifications could jeopardize the Democrats’ ability to connect with the all-important youth demographic. If the plan continues to fall apart in court, the White House may find itself scrambling to find alternative means of generating enthusiasm among young voters who, let’s be honest, have likely had enough of being used as political pawns.
