Seven states filed suit on Tuesday against President Joe Biden, Education Secretary Miguel Cardona, and the U.S. Department of Education over Biden's SAVE income-driven repayment student loan initiative.
Seven states filed suit on Tuesday against President Joe Biden , Education Secretary Miguel Cardona, and the U.S. Department of Education over Biden ’s SAVE income-driven repayment student loan initiative.
"With the stroke of his pen, Joe Biden is attempting to saddle working Missourians with a half trillion dollars in college debt," Bailey said. "The United States Constitution makes clear that the president lacks the authority to unilaterally ‘cancel’ student loan debt for millions of Americans without express permission from Congress."
Biden’s first attempt at widespread student loan cancellation would have erased $10,000 for borrowers with yearly incomes of up to $125,000, plus an additional $10,000 if they received federal Pell grants for low-income students. It was estimated to cost $400 billion and cancel at least some student debt for more than 40 million people.The new plan uses a different legal justification — the Higher Education Act, which allows the secretary of education to waive student loan debt in certain cases.
"Just last year, the Supreme Court struck down an attempt by the President to force teachers, truckers, and farmers to pay for the student loan debt of other Americans — to the enormous tune of $430 billion," the lawsuit read. "In striking down that attempt, the Court declared that the President cannot 'unilaterally alter large sections of the American economy.'"
Student Loan Education Forgiveness
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