This podcast episode covers the Supreme Court's rejection of Biden's student loan forgiveness plan and the administration's subsequent response. The Court ruled that the administration overreached its authority and that only Congress has the power to cancel student debt. The administration is exploring alternative legal avenues for providing relief to borrowers. Borrowers are encouraged to take steps to prepare for the restart of federal student loan payments on October 1, 2022, by determining their new loan servicer, updating contact information, and considering their current financial situation to determine the most suitable repayment plan. Despite the setback, there are alternative pathways to loan forgiveness, such as the Public Service Loan Forgiveness program and the income-driven repayment plan, which offers loan cancellation after 20 years of payments.
