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00:03Nearly 7 million student loan borrowers remain in the defunct SAVE plan,
00:07causing their debt to grow while halting progress toward loan forgiveness,
00:10Education Department. Undersecretary Nicholas Kent told CNBC,
00:15only about 300,000 borrowers have exited SAVE, leaving millions at risk of unaffordable payments
00:21and eventual default. Republican-led legal challenges froze SAVE shortly after its 2023
00:27launch, placing millions in forbearance until a federal appeals court ordered the program's
00:32end earlier this year. Kent warned that SAVE borrowers must exit the program, with different
00:37deadlines applying to different enrollees. Borrowers will have a 90-day window to enroll in a new plan
00:42after hearing from their servicer, though notices will arrive on different dates throughout the
00:47summer. Exiting SAVE borrowers will face an existing backlog of more than 530,000 applicants
00:53already waiting for a new repayment plan. For all things money, visit Benzinga.com.
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