Your student loan approval letter may have been a mistake

A couple of weeks ago federal student loan borrowers started receiving approval letters. Many may have received those letters in error.

The status of Biden’s student loan forgiveness plan is currently up in the air. Nationwide conservative legal challenges have succeeded in getting the program blocked pending Supreme Court review. However, before the injunction an application portal was operational and many of those who used it had their applications reviewed.

Millions of people did actually have their applications approved and their approval letters were valid. But some borrowers are still in limbo due to the legal challenges but received approval letters anyway. Those borrowers have begun finding out that their initial approval letters are not accurate via another letter:

“Due to a vendor error, you recently received an email with a subject line indicating your application for the one-time Student Loan Debt Relief Plan had been approved. The subject line was inaccurate. The body of the previous email was accurate.

We have received your application but are not permitted to review your eligibility because of ongoing litigation. We will keep your application information and review your eligibility if and when we prevail in court.

We apologize for the confusion, and you do not need to take any further action at this time. We will keep you updated with any developments.”

This doesn’t mean that those applications have been declined just that they have not been reviewed yet.

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