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  • 23 hours ago
The Trump administration proposed a settlement with Missouri that would force more than 7.6 million borrowers in the SAVE-plan forbearance back into repayment early next year. The SAVE plan remains blocked by the courts, and advocates warn the deal would eliminate the most affordable repayment
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00:00It's Benzinga, bringing Wall Street to Main Street.
00:03The Trump administration proposed a joint settlement with Missouri
00:06that could require more than 7.6 million borrowers in a Biden-era payment pause
00:10to resume repayment, according to CNBC. The Education Department said borrowers in the
00:16saving on a valuable education plan forbearance will have to move into legal repayment plans.
00:21The save plan has been blocked since February, after the 8th U.S. Circuit Court of Appeals
00:26ruled that former President Biden lacked authority to create it.
00:31The settlement would prevent new enrollments while pushing current participants back into
00:34repayment early next year. Consumer advocates criticized the agreement, saying it would
00:39remove the most affordable repayment option. More than 42 million Americans carry student
00:44loans totaling over $1.6 trillion, according to the Congressional Research Service.
00:48For all things money, visit Benzinga.com.
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