The Department of Education stops accepting applications for student debt forgiveness
The decision comes after a federal judge declare illegal Biden’s student loan forgiveness program.
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The Department of Education announced that it has stopped taking applications for student debt relief after a judge in Texas who was appointed by former President Donald Trump blocked on Thursday President Joe Biden’s loan forgiveness plan.
“Courts have issued orders blocking our student debt relief program. As a result, at this time, we are not accepting applications. We are seeking to overturn those orders,” says the Federal Student Aid website.
The Biden administration is appealing the ruling, but it could take months for the court to issue a final decision. According to CNN, if it overturns the Texas lower court’s ruling, then the Biden administration could begin canceling student debt.
In a press release issued today by the Secretary of Education, Miguel Cardona, it stated that more than 26 million borrowers have provided the information needed to process their applications for relief and 16 million applications have been approved and sent to loan servicers to be discharged.
"We are disappointed in the decision of the Texas court to block loan relief moving forward. Amidst efforts to block our debt relief program, we are not standing down. The Department of Justice has appealed today’s decision on our behalf, and we will continue to keep borrowers informed about our efforts to deliver targeted relief,” added Cardona.
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