Podcast Summary
Supreme Court blocks Biden's student debt relief plan: The Supreme Court has halted the Biden administration's student loan debt relief plan, leaving millions uncertain about their debt repayment options. Only Congress has the power to enact such relief, and individuals should consider alternative repayment strategies.
The Supreme Court has ruled against the Biden administration's student debt relief plan, which aimed to erase federal student loan debt for millions of people. The court determined that only Congress has the power to make such a decision, not the executive branch. This decision leaves many people with student debt unsure of their next steps. It's important to note that this is a complex legal issue, and the specifics can be debated. However, the bottom line is that for now, student loan debt relief is not an option through this particular plan. It's a significant blow for those hoping for debt relief, and it underscores the importance of staying informed about political developments that could impact your financial situation. If you have student loans, it may be a good idea to explore other options, such as income-driven repayment plans or refinancing, to make your debt more manageable.
Supreme Court Blocks Student Loan Debt Relief, Biden Administration Explores New Options: The Supreme Court halted the Biden administration's student loan debt relief plan, leaving borrowers to prepare for resuming payments in October, despite ongoing pandemic hardships. The administration is considering alternative methods under the Higher Education Act, but success is uncertain.
President Biden's administration's attempt to provide student loan debt relief through the Heroes Act has been blocked by the Supreme Court. The administration is now exploring using the Higher Education Act and the education secretary's authority under that law to attempt relief. However, it's important to note that this may not be as effective as the previous approach and there's no guarantee of success. No borrower debt had been forgiven under this program yet. Payments on student loans have been paused for several years due to COVID-19, and now, with the Supreme Court ruling, borrowers will need to prepare for resuming payments, which are set to start accruing interest in September and become due in October. Two major servicers of federal student loans have exited the program during the pandemic pause, adding to the complexity of the situation for borrowers.
Prepare for Student Loan Repayment Resumption: Student loan borrowers should update contact info, prepare for high demand, and determine best repayment plan through studentaid.gov and servicers.
Student loan borrowers need to identify their loan servicers and update their contact information as payments are set to resume in October, despite the administration's leniency towards delinquent borrowers. With the potential for high demand and underfunding of the Federal Student Aid department, borrowers are encouraged to proactively prepare for the repayment restart to ensure a smoother process. Although debt relief plans have been discussed, it is clear that they are not imminent, and getting back into the repayment system is the best course of action for borrowers' financial health. By accessing their federal student loans through studentaid.gov and contacting their servicers, borrowers can determine the most suitable repayment plan based on their income changes since the payment pause began.
Exploring Alternative Student Loan Forgiveness Programs: Public Service Loan Forgiveness and income-driven repayment plans offer potential relief for student loan borrowers. Understand your options and loan details to make informed decisions.
While the student loan debt relief plan has been overturned, there are still other paths to loan forgiveness available. The Public Service Loan Forgiveness program, which offers forgiveness after 10 years of payments for those working in public service, is still an option. Additionally, the income-driven repayment plan has a promise for undergraduate borrowers of having any remaining loan balance erased after 20 years. The Education Department is currently reviewing and adjusting this program. President Biden is also introducing a new income-driven repayment plan with smaller monthly payments based on 5% of discretionary income. It's important for borrowers to understand their loan details, repayment plans, and potential debt relief options. Despite the disappointment of the debt relief plan being overturned, it's crucial to remember that Biden's plan wouldn't have addressed the root cause of the issue: the rising cost of college.
Investigating America's Distorted History Through Markers: NPR's Laura Sullivan spent a year uncovering inaccuracies, biases, and curiosities in thousands of historical markers across the US, revealing a complex and nuanced perspective of the country's past.
History, as recorded through markers across America, presents a distorted yet intriguing perspective of the country's past. NPR's Laura Sullivan spent a year investigating thousands of these markers and discovered a range of findings – from inaccuracies and biases to curiosities, humor, and joy. This insight comes from Sullivan's new episode of the Sunday Story on the Up First podcast from NPR. Meanwhile, on Life Kit, the podcast provides practical advice on various aspects of life. Listeners can find episodes on managing debt and dealing with anxiety at npr.org/lifekit. Subscribe to the newsletter for even more content. This episode was produced by Claire Marie Schneider, with fact checking support from Sylvie Douglis. Additionally, NPR sponsors like Charles Schwab and Capella University offer resources for listeners. Charles Schwab's Choiceology podcast explores the psychology and economics behind people's decisions, while Capella University offers flexible online degree programs with personalized support. Marielle Seguerra hosts Life Kit, and the production team includes Andy Tagle, Audrey Wynne, Margaret Serino, Thomas Lu, and engineering support from Joshua Newell. Listeners can find more information and resources at the mentioned websites.
