Texans with college loans are expected to begin or resume making payments later this year after the U.S. Supreme Court struck down President Joe Biden's plan to forgive up to $20,000 in debt, and after other COVID-era relief ends.
The high court on Friday struck a decisive blow to one of Biden’s signature campaign promises when it declared his debt cancellation program was unconstitutional. The decision, which affects 1.4 million Texans who had already been approved for forgiveness, came a few months before the end of a pause in borrowers’ payments.
But while it will surely cause some financial shock to borrowers who have not been required to make loan payments during the COVID-19 pandemic, other changes are planned for this summer that can reduce monthly payments, stop interest accruals and forgive debts after 10 to 25 years.