Arizona’s Democratic attorney general Kris Mayes dismissed the lawsuit against President Joe Biden’s student loan forgiveness program on January 20 in a move that might give millions of borrowers of student loans cause for hope.
Former Republican attorney general Mark Brnovich filed the lawsuit on September 29, 2022, demanding that the Biden administration end its unlawful student loan cancellation program.
The lawsuit contests the president’s power to unilaterally cancel more than $500 billion in student loan debt without congressional approval through the Department of Education. According to Brnovich in the statement, the president’s action runs counter to several recent Supreme Court rulings that invalidated the assertion of authority by federal agencies that was never granted to them by Congress.
Since it was announced in August 2022, Biden’s program has been the target of numerous lawsuits and has since been suspended. In response, the administration declared that, while it awaits the Supreme Court’s review of the program, the student loan pause, which was originally scheduled to end on December 31, 2022, will be extended to the end of June 2023.
In February, the Supreme Court announced that it would hear two cases involving the student loan forgiveness program. Millions of debtors are currently waiting for their fare.
According to an article published by Yahoo! Finance on January 26, 2023, borrowers whose income in 2020 or 2021 was less than $125,000 (or $250,000 for households) may be eligible for up to $10,000 in federal student debt relief. Additionally, that sum rises to a maximum of $20,000 in student loan cancellation for Pell Grant recipients. Your eligibility if you are a dependent student is determined by your parents’ income.