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Student Loans Must Be Forgiven And Cannot Be Kicked Off SAVE Plan, Says Amended Lawsuit
Student loan borrowers have filed an amended lawsuit against the Education Department. They contend that qualifying SAVE plan borrowers should receive loan forgiveness or be transferred to the REPAYE plan, rather than being forced into other repayment options. This challenge arises as the department prepares to move millions of borrowers out of the SAVE plan starting in July, following a settlement that terminated both SAVE and its predecessor, REPAYE. The Education Department seeks to dismiss the lawsuit, arguing the termination is final and current law no longer authorizes these plans. Despite the legal battle, borrowers are advised to prepare for selecting new repayment plans, as the department's timeline for transitioning out of SAVE remains unchanged.
Department of Education announces discount for student loan borrowers
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