Republican-led states win injunction blocking Biden SAVE student loan plan

The 8th US Circuit Court of Appeals issues a preliminary injunction blocking the Biden administration's SAVE (Saving on a Valuable Education) income-driven repayment plan, responding to lawsuits filed by coalitions of Republican-led states led by Missouri and Kansas. The injunction halts both SAVE's reduced payment provisions and its early forgiveness for low-balance borrowers. Approximately 7 million borrowers enrolled in SAVE have their accounts placed in forbearance, meaning no payments required and no interest accruing, but their path to forgiveness is blocked. The Supreme Court refuses to lift the injunction in August 2024. Biden calls the Republican legal challenges "an attempt to block relief for millions of borrowers."