The Democrat’s latest get-out-the-vote scheme already did its damage, so this seems like a moot point, but it does one thing. It saves taxpayers (or, more likely, their grandchildren) a trillion dollars plus interest.
SCOTUS has killed Biden’s effort to forgive or reduce student loans DEBT.
“Last year, the Secretary of Education established the first comprehensive student loan forgiveness program, invoking the Higher Education Relief Opportunities for Students Act of 2003 (HEROES Act) for authority to do so.
“The Secretary’s plan canceled roughly $430 billion of federal student loan balances, completely erasing the debts of 20 million borrowers and lowering the median amount owed by the other 23 million from $29,400 to $13,600. … Six States sued, arguing that the HEROES Act does not authorize the loan cancellation plan. We agree.”
The HEROES Act is not a blanket permission slip to give away taxpayer dollars for government-backed student loans (full decision here). The Justices also note that MISSOURI is harmed by the move, giving it the standing necessary for the case to have legs. The HEROES Act did provide the Secretary of Education the authority “to rewrite that statute from the ground up.”
The program was paused when challenged and is not deemed illegal. The government cannot reduce or forgive student loans unless Congress revisits the statute or crafts a new one that specifically grants the Se. of Education this power.
That’s not likely to happen anytime soon but be prepared for it if we find ourselves saddled with a Democrat Majority House and Senate.
