The Biden administration began notifying applicants who have been approved for student-loan relief.
The notifications came after the administration asked the Supreme Court to save its debt relief plan.
A lower court had previously blocked the program from taking effect.
A day after asking the Supreme Court to save its student-loan forgiveness plan, the Biden administration has begun notifying some applicants that they have been approved.
On Saturday, the Department of Education began sending emails to borrowers, alerting them of their loan relief approval, and also provided details about the lawsuits that are delaying the program’s implementation.
In an email reviewed by Insider, Education Secretary Miguel Cardona wrote: “We reviewed your application and determined you are eligible for debt relief under the plan. We have sent this approval to your loan servicer. Forwarding you to No need to take anything.” action.”
Cardona said the administration believes the lawsuits are frivolous and the Justice Department has appealed on behalf of the borrowers. Cardona wrote, “Your application is complete and approved, and we will discharge your approved loan when we prevail in court.”
The Justice Department on Friday urged the Supreme Court to allow Biden’s plan to move forward after a lower court blocked it from taking effect in October. Biden’s plan would forgive up to $20,000 in student loans for federal borrowers.
The filing asked the Supreme Court to set aside a ruling by an appeals court on Monday that continued a stay on the debt-relief program. The lawsuit was brought by six Republican-run states who argued that the administration was overstepping its executive powers and that the loan-forgiveness plan could cause them financial harm.
According to the Biden administration, about 26 million people applied for student-loan relief, and 16 million of those applications have been approved. Payment of student loans is due to resume in January, after being suspended during the pandemic.
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