Today, President Donald Trump’s Department of Education announced a pending joint settlement with the State of Missouri that would end the Biden Administration’s attempt at student loan forgiveness through the ‘Saving on a Valuable Education’ (SAVE) Plan. Following this announcement, Cato scholar Andrew Gillen released the following statement:
“The pending legal settlement to end the SAVE student loan repayment plan is a huge step forward. SAVE was largely a student loan forgiveness scheme cosplaying as a repayment plan. While the recent reconciliation bill would have closed SAVE in 2028, this settlement will speed up its demise, which is great news. The combined effect of the bill and this settlement will end one of the few remaining student loan forgiveness initiatives from the Biden administration, save taxpayers hundreds of billions of dollars, and incentivize colleges to lower their prices.”
Andrew Gillen’s previous work on student loan forgiveness:
- Good News on Student Loan Forgiveness, Biden’s SAVE Plan Is Paused by Courts
- Ending Federal Student Loans: There Is a Small Window of Opportunity to Get the Government out of Student Lending
Please let me know if you are interested in speaking with Gillen about the proposed settlement.
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