Republican lawmakers push back against Biden’s student loan repayment plan

A group of congressional Republicans are taking legislative action to roll back the Biden administration’s new income-driven student loan repayment plan known as SAVE.

The action is led by ed by Michigan Rep. Lisa McClain and Louisiana Sen. Bill Cassidy. They introduced a resolution under the Congressional Review Act to rescind the program, even though it is unlikely to pass in the Democrat-controlled Senate. This move has prompted a public debate on student loan issues and college affordability, forcing lawmakers to take a stand.

The SAVE plan aims to reduce the financial burden on borrowers by halting the accrual of unpaid interest and lowering monthly payments from 10% to 5% of discretionary income for undergraduate loans. However, Republicans argue that it is financially reckless and shifts the burden onto those who chose not to attend college or have responsibly paid off their loans – The same argument they used against the student loan forgiveness plan that the Supreme Court overturned over the summer.

The Biden administration said Tuesday that more than 4 million borrowers had enrolled in the income-driven plan, including those who transferred from the previous iteration of the program.

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