{"id":1852499,"date":"2023-02-19T06:20:36","date_gmt":"2023-02-19T11:20:36","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1852499"},"modified":"2023-02-19T06:23:53","modified_gmt":"2023-02-19T11:23:53","slug":"bidens-student-debt-bailout-hinges-on-two-cases-that-start-this-month","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bidens-student-debt-bailout-hinges-on-two-cases-that-start-this-month\/","title":{"rendered":"Biden&#8217;s Student Debt Bailout Hinges on Two Cases That Start This Month"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbidens-student-debt-bailout-hinges-on-two-cases-that-start-this-month%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1852499&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47-->\n<div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2023\/02\/17d9f479288c53789dae6af967ff0f7c\" class=\"ff-og-image-inserted\" alt=\"image\"   style=\"display:none\"><\/div>\n<p>This month is crucial for President Joe Biden&#8217;s student loan forgiveness plan. Oral arguments will start at the 28th <a data-i13n=\"cpos:1;pos:1\" href=\"https:\/\/fortune.com\/2022\/12\/01\/supreme-court-will-review-bidens-student-loan-forgiveness-plan\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:U.S. Supreme Court for two cases related to cancelation;cpos:1;pos:1\" class=\"link\">U.S. Supreme Court &#8211; Two cases related to cancellation<\/a>This could save millions of Americans from getting rid of thousands of dollars of debt.<\/p>\n<p>The Supreme Court <a data-i13n=\"cpos:2;pos:1\" href=\"https:\/\/fortune.com\/2022\/11\/18\/biden-surpreme-court-student-loan-debt-forgiveness-program\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:hearing two forgiveness-related cases;cpos:2;pos:1\" class=\"link\">Hearing two cases relating to forgiveness<\/a>. The first, <em>Nebraska v. Biden<\/em>Six conservative state attorneys of general filed a lawsuit against the Biden administration claiming it was exceeding its authority. A conservative advocacy group filed the second for two individuals. One who is not eligible for the forgiveness plan and one who is not eligible for $20,000 in forgiveness.<\/p>\n<p>The Biden administration says they have authority to implement the programs under the HEROES Act of 2003, which allows the Secretary of Education\u2014currently, Miguel Cardona\u2014to institute changes to the student loan program in times of <a data-i13n=\"cpos:3;pos:1\" href=\"https:\/\/fortune.com\/2023\/02\/02\/how-covid-19-national-emergency-ending-affects-student-loan-borrowers\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:national emergency;cpos:3;pos:1\" class=\"link\">National emergency<\/a> (in this example, the COVID-19 Pandemic). It allows him to &#8220;waive or modify&#8221; Provisions relating to student financial assistance programs such as repayment terms<\/p>\n<p>According to the White House, cancelling debt will guarantee that borrowers don&#8217;t end up in bankruptcy <a data-i13n=\"cpos:4;pos:1\" href=\"https:\/\/fortune.com\/2023\/01\/09\/student-loan-borrowers-financial-status-during-payment-pause\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:worse off financially post-pandemic when federal student loan payments;cpos:4;pos:1\" class=\"link\">Post-pandemic, financial hardships are worse when federal student loans payments are made<\/a>These are the resulting <a data-i13n=\"cpos:5;pos:1\" href=\"https:\/\/fortune.com\/2022\/11\/22\/biden-extends-federal-student-loan-payment-pause-forgiveness-court-battle\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:paused for almost three years;cpos:5;pos:1\" class=\"link\">For almost three years, the pause was maintained<\/a>, resume.<\/p>\n<p>&#8220;Ending that pause without providing some additional relief for lower-income borrowers would cause delinquency and default rates to spike above pre-pandemic levels,&#8221; The <a data-i13n=\"cpos:6;pos:1\" href=\"https:\/\/fortune.com\/2023\/01\/05\/biden-defends-student-loan-forgiveness-supreme-court\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:U.S. Department of Justice wrote in a brief filed last month;cpos:6;pos:1\" class=\"link\">In a brief filed last week, the U.S. Department of Justice stated that it was aware of the matter.<\/a>. Two dozen legal scholars <a data-i13n=\"cpos:7;pos:1\" href=\"https:\/\/fortune.com\/2023\/01\/12\/student-loan-forgiveness-states-governments-scholars-support-biden\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:filed an amicus brief with the Supreme Court;cpos:7;pos:1\" class=\"link\">Amicus Brief filed with the Supreme Court<\/a> Last month, I supported the legal standing of the Biden administration.<\/p>\n<p>Vaishali Rao (partner at Hinshaw &#038; Culbertson) says that the court will decide whether the COVID-19 crisis is a valid reason for widespread relief. Rao represents lenders, servicers, and debt collectors. He has also examined student loan origination and servicing practices.<\/p>\n<p>&#8220;The HEROES Act language is pretty clear that the government has the authority&#8221; Rao suggests that the debt be cancelled. &#8220;Does it make sense for the circumstances, or is there something narrower that could be done?&#8221;<\/p>\n<p>Rao says many borrowers were already in financial difficulty before the pandemic and this problem will only worsen. This forgiveness could serve as a precedent to guide future government action.<\/p>\n<p>Biden&#8217;s plan, announced last year, would allow borrowers to forgive $10,000 in federal debt if they earn less than $125,000 per year. Pell Grant recipients who receive Pell Grants during school will be able to forgive as much as $20,000 in federal debt. The one-time forgiveness was open to 26 million applicants when it opened.<\/p>\n<h2>What should borrowers do?<\/h2>\n<p>All student loan borrowers are allowed to wait for the decision. With a conservative majority Supreme Court of 6-3, <a data-i13n=\"cpos:8;pos:1\" href=\"https:\/\/fortune.com\/2022\/11\/26\/millennials-burdened-by-debt-no-nice-things\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:it&#039;s best to be practical;cpos:8;pos:1\" class=\"link\">It&#8217;s better to be practical<\/a>. If you are able to make the payments, interest will not be charged. Interest accrual will resume once payments are made.<\/p>\n<p>&#8220;It&#8217;s better to be conservative and think this might lose, and then have money to make the payments,&#8221; Rao. &#8220;And then if the government does win, it&#8217;s an added bonus. I worry about people not having a financial plan because they&#8217;re counting on forgiveness.&#8221;<\/p>\n<p>If you&#8217;re struggling and won&#8217;t be able to make payments when the federal pause ends, it never hurts to contact your student loan servicer\u2014the company that bills you each month\u2014and see if they can help you work out a repayment plan.<\/p>\n<p>Rao also offers advice to borrowers &#8220;get to know&#8221; Your debt. Are you in default on federal loans? Forgiveness is only available for federal loans.<\/p>\n<p>Also, don&#8217;t forget to take advantage <a data-i13n=\"cpos:9;pos:1\" href=\"https:\/\/fortune.com\/2022\/06\/15\/public-service-loan-forgiveness-personal-success-story\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Public Service Loan forgiveness;cpos:9;pos:1\" class=\"link\">Public Service Loans Exemption<\/a>, <a data-i13n=\"cpos:10;pos:1\" href=\"https:\/\/studentaid.gov\/manage-loans\/forgiveness-cancellation\/borrower-defense?\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Borrower Defense to Repayment;cpos:10;pos:1\" class=\"link\">Repayment Protection for Borrowers<\/a>If you are able, other targeted relief programs. These programs are independent of Biden\u2019s plan for one-time relief and will remain in effect even if Biden is disqualified by the Supreme Court.<\/p>\n<p>Oral arguments are scheduled for February 28, 2023. More than <a data-i13n=\"cpos:11;pos:1\" href=\"https:\/\/fortune.com\/2022\/11\/03\/lawsuit-stalling-16-million-borrowers-from-receiving-student-loan-forgiveness\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:26 million Americans applied for the one-time student debt relief;cpos:11;pos:1\" class=\"link\">26 million Americans applied to the student debt relief program.<\/a>According to the Biden administration, it is.<\/p>\n<p>This story originally appeared on <a data-i13n=\"cpos:12;pos:1\" href=\"https:\/\/fortune.com\/2023\/02\/18\/student-debt-forgiveness-court-cases-february-update\/\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Fortune.com;cpos:12;pos:1\" class=\"link\">Fortune.com<\/a><\/p>\n<p><strong>Fortune has more: <\/strong><br \/><a data-i13n=\"cpos:13;pos:1\" href=\"https:\/\/fortune.com\/recommends\/banking\/lucrative-side-hustles-you-can-do-from-home\/?utm_source=Yahoo%21%20Finance&#038;utm_medium=promo-module-bottom&#038;utm_campaign=syndicationpromo&#038;utm_term=Biden%E2%80%99s%20cancel%20student%20debt%20plan%20hinges%20on%20two%20court%20cases%20that%20start%20this%20month%3A%20%27It%27s%20better%20to%20be%20conservative%20and%20think%20this%20might%20lose%27\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:5 side hustles where you may earn over $20,000 per year\u2014all while working from home;cpos:13;pos:1\" class=\"link\">5 side hustles where you may earn over $20,000 per year\u2014all while working from home<\/a><br \/><a data-i13n=\"cpos:14;pos:1\" href=\"https:\/\/fortune.com\/recommends\/investing\/millennials-average-net-worth\/?utm_source=Yahoo%21%20Finance&#038;utm_medium=promo-module-bottom&#038;utm_campaign=syndicationpromo&#038;utm_term=Biden%E2%80%99s%20cancel%20student%20debt%20plan%20hinges%20on%20two%20court%20cases%20that%20start%20this%20month%3A%20%27It%27s%20better%20to%20be%20conservative%20and%20think%20this%20might%20lose%27\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:Millennials' average net worth: How the nation's largest working generation stacks up against the rest;cpos:14;pos:1\" class=\"link\">The average net worth of millennials: How does the largest working generation in the country compare to the rest<\/a><br \/><a data-i13n=\"cpos:15;pos:1\" href=\"https:\/\/fortune.com\/recommends\/banking\/ways-to-earn-passive-income\/?utm_source=Yahoo%21%20Finance&#038;utm_medium=promo-module-bottom&#038;utm_campaign=syndicationpromo&#038;utm_term=Biden%E2%80%99s%20cancel%20student%20debt%20plan%20hinges%20on%20two%20court%20cases%20that%20start%20this%20month%3A%20%27It%27s%20better%20to%20be%20conservative%20and%20think%20this%20might%20lose%27\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:The best 5 ways to earn passive income;cpos:15;pos:1\" class=\"link\">Here are 5 of the best ways to make passive income.<\/a><br \/><a data-i13n=\"cpos:16;pos:1\" href=\"https:\/\/fortune.com\/recommends\/mortgages\/how-much-salary-to-buy-600000-home\/?utm_source=Yahoo%21%20Finance&#038;utm_medium=promo-module-bottom&#038;utm_campaign=syndicationpromo&#038;utm_term=Biden%E2%80%99s%20cancel%20student%20debt%20plan%20hinges%20on%20two%20court%20cases%20that%20start%20this%20month%3A%20%27It%27s%20better%20to%20be%20conservative%20and%20think%20this%20might%20lose%27\" rel=\"nofollow noopener\" target=\"_blank\" data-ylk=\"slk:This is how much money you need to earn annually to comfortably buy a $600,000 home;cpos:16;pos:1\" class=\"link\">This is the amount of money you would need to make each year to afford a $600,000.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>This month is crucial for President Joe Biden&#8217;s student loan forgiveness plan. Oral arguments will start at the 28th U.S. Supreme Court &#8211; Two cases related to cancellationThis could save millions of Americans from getting rid of thousands of dollars of debt. The Supreme Court Hearing two cases relating to forgiveness. The first, Nebraska v. &hellip;<\/p>\n","protected":false},"author":1,"featured_media":1852502,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[547],"tags":[8384,3706,5487,7635,7666,3732,5135],"class_list":["post-1852499","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-bongino-report","tag-bailout","tag-bidens","tag-debt","tag-hinges","tag-month","tag-start","tag-student"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1852499","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1852499"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1852499\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1852502"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1852499"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1852499"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1852499"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}