Georgia’s Attorney General Chris Carr has joined a lawsuit along with several other Republican-led states against the Biden Administration’s new plan for student loan forgiveness.
On Monday, President Joe Biden announced a plan to provide debt relief for borrowers who went to institutions that “failed accountability measures” or “failed to provide students with sufficient financial value.” The Biden Administration expected that over 30 million Americans would benefit from the new plan, including Black borrowers who historically rely more heavily on student loans and take longer to pay them off than their white counterparts.
However, several Republican-led states appear to be against helping American citizens who suffer from student loan debt.
Along with Georgia’s Attorney General, Attorney Generals in Missouri, Arkansas, Florida, North Dakota, Ohio and Oklahoma are joining in the lawsuit to combat Biden’s plan.
Missouri’s Attorney General Andrew Bailey is leading the charge stating that Biden’s plan is unconstitutional and will cost taxpayers $475 billion.
“Yet again, the President is unilaterally trying to impose an extraordinarily expensive and controversial policy that he could not get through Congress,” according to the new suit.
In 2023, the Biden Administration initially attempted to cancel student loans for millions of borrowers, but the conservative-leaning Supreme Court banned the plan. The primary reason was that it would harm a student loan company named MOHELA and alleged that it would make it harder for states to hire and retain employees.
As a result, millions of Americans were not helped because it was alleged that one company in Missouri, that only employs 750 people, would possibly suffer from student loan forgiveness.
After the Supreme Court’s decision, student loan repayment resumed following a three-year hiatus during the pandemic. The Biden Administration sued MOHELA because it…
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