A new repayment plan from Biden administration for student debts will start this summer. Millions of Americans can take advantage of the most lenient terms offered by President Biden’s SAVE Plan. Oppositions fighting over how the terms were “deeply unfair” to the 87% Americans.
President Biden’s SAVE Plan
As President Biden continue with the implementation of several legislations promised during his candidacy, the legal battle for student debt relief still continues. Last year, President Biden’s SAVE Plan was announced but was set aside due to the increasing popularity of the proposal of mass cancellation for student debts as reported in ABC.
When the Supreme court had struck down Biden’s proposal for mass cancellation of student debt, President Biden’s SAVE Plan had taken the spotlight. With the SAVE plan was called “the most affordable repayment plan ever” by Lawmakers. Borrowers can secure at least $1,000 each year if enrolled to President Biden’s SAVE Plan.
President Biden’s SAVE Plan Vs Republicans
Republicans, however continued to fight over the plan. In a report from Portland Press Herald Sen. Bill Cassidy, a republican had said that the plan is unfair to the rest of Americans who don’t have student debts. From a recent data gathered, around 87% of Americans don’t have student debts.
The estimated cost of President Biden’s SAVE Plan based on a study from University of Pennsylvania is around $361 billion over the next decade.
Oppositions had openly said that President Biden’s SAVE Plan will surely face legal challenges along the way.