![\"\"](\"https:\/\/i0.wp.com\/www.wvih.com\/wp1\/wp-content\/uploads\/2020\/04\/Student-Loans.jpg?resize=125%2C125\")
\nA federal appeals court late Friday issued an administrative stay temporarily blocking President Joe Biden’s plan to cancel billions of dollars in federal student loans, throwing the program into limbo just days after people began applying for loan forgiveness.<\/p>\n
The Eighth Circuit Court of Appeals issued the stay while it considers a motion from six Republican-led states to block the program. The stay ordered the Biden administration not to act on the program while it considers the appeal.<\/p>\n
It is unclear what the decision means for the 22 million borrowers who already applied for the relief. The Biden administration had promised not to clear any debt before October 23 as it battled the legal challenges, but the soonest it was expected to begin erasing debt was mid-November.<\/p>\n
White House Press Secretary Karine Jean-Pierre encouraged borrowers to continue to apply for the relief, saying the court’s temporary order did not prevent applications or the review of applications.<\/p>\n
The crucial question now is whether the issue will be resolved before January 1, when payments on federal student loans are expected to restart after being paused during the pandemic. Millions of Americans were expected to get their debt canceled entirely under Biden\u2019s plan, but they now face uncertainty about whether they will need to start making payments in January.
\nSource: AP<\/p>\n","protected":false},"excerpt":{"rendered":"
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