by Ben Whedon
The Department of Education on Tuesday announced that it had reached an agreement to settle a lawsuit by ending President Joe Biden’s student loan plans.
Biden’s Education Department enacted the Saving on Valuable Education (SAVE) in the wake of a Supreme Court decision ruling that he could not unilaterally cancel student debt without an act of Congress. Republican-led states had challenged the backup plan, alleging it was illegal on its own.
“For four years, the Biden Administration sought to unlawfully shift student loan debt onto American taxpayers, many of whom either never took out a loan to finance their postsecondary education or never even went to college themselves, simply for a political win to prop up a failing Administration,” Under Secretary of Education Nicholas Kent said, according to The Hill.
“The Trump Administration is righting this wrong and bringing an end to this deceptive scheme. The law is clear: if you take out a loan, you must pay it back. Thanks to the State of Missouri and other states fighting against this egregious federal overreach, American taxpayers can now rest assured they will no longer be forced to serve as collateral for illegal and irresponsible student loan policies,” he added.
Missouri Attorney General Catherine Hanaway said his office “fought for hardworking Americans who were being preyed upon by Biden Administration bureaucrats, and we won in court every time.”
“Unilaterally saddling taxpayers with someone else’s Ivy League debt ignored Congressional authority and was clearly unlawful. We appreciate President Trump’s real, long-term solutions instead of illegal student loan schemes,” Hanaway stated.
The settlement would affect as many as 7 million borrowers.
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Ben Whedon is a reporter for Just the News. Zachery Schmidt is the digital editor of The Star News Network and contributed to this story.
