The U.S. Supreme Court has sided with Nebraska and five other states in a lawsuit filed against the Biden Administration’s student loan forgiveness program. In the 6-3 vote the court ruled that the Biden administration did not have legal authority to waive more than $400 billion that was owed
The Biden Vs Nebraska case was argued by Nebraska Attorney General Mike Hilgers before the country’s high court. “Today is an important day for our country as the Supreme Court’s ruling has stopped the Biden Administration’s breathtaking attempt to grab power,” Hilgers says.
“The Supreme Court has reaffirmed the separation of powers principle that has been in place since our country’s founding, and one which has helped preserve freedom for nearly 250 years. And as a result of today’s decision, taxpayers have been saved nearly $500 billion.”
The plan would have canceled up to $20,000 in federal student loans for 43 million people. Of those, 20 million would have had their remaining student debt erased eliminated.
The court’s decision means borrowers will have to start the repayment process October 1.