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Despite Lawsuits, Biden Admin Begins Approving Student Loan Debt Applications

The Biden administration is beginning to approve applications for student loan relief amid a legal battle over the forgiveness plan, according to an email obtained by the Daily Caller News Foundation.
by Reagan Reese

The Biden administration is beginning to approve applications for student loan relief amid a legal battle over the forgiveness plan, according to an email obtained by the Daily Caller News Foundation.

The Department of Education (DOE) is notifying applicants that they are eligible for student loan forgiveness and will be relieved of their student debt after “[prevailing] in court,” according to an email obtained by the DCNF. The emails come after the Department of Justice (DOJ) urged the U.S. Supreme court to overturn a lower court’s ruling which blocked the student loan forgiveness plan.

“We reviewed your application and determined that you are eligible for loan relief under the plan,” the email obtained by the DCNF read. “We have sent this approval on to your loan servicer. You do not need to take any further action.”

Introduced in August, the DOE plans to forgive $10,000 worth of student loans for those making less than $125,000 per year. Under the plan, Pell Grant recipients can also be relieved of up to $20,000 worth of student debt.

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In October, a federal court of appeals granted an administrative stay, halting the student loan forgiveness program. Texas U.S. District Judge Mark Pittman ruled on Nov. 10 that the program was illegal because borrowers were unable to comment on the plan before it was launched.

The DOE shut down the student loan forgiveness portal on Nov. 12 following court action and is no longer accepting new applications.

“We believe strongly that the lawsuits are meritless, and the Department of Justice has appealed on our behalf,” the email read. “Your application is complete and approved, and we will discharge your approved debt if and when we prevail in court. We will update you when there are new developments.”

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