College students react after appeals court blocks loan reduction plan

Student debt relief will have to wait for millions of Americans after a federal appeals court blocked President Biden’s student loan reduction plan.
Published: Oct. 25, 2022 at 3:42 PM EDT|Updated: Oct. 25, 2022 at 5:41 PM EDT
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SPRINGFIELD, MA (WGGB/WSHM) - Student debt relief will have to wait for millions of Americans after a federal appeals court blocked President Biden’s student loan reduction plan.

Students at American International College told Western Mass News that they’re disappointed by the federal court’s decision.

“Every time it seems like we get a little bit of hope, a little bit of a glimmer for the future something always seems to kind of beat it back a little bit,” said AIC senior Alyssa Kelleher.

“Everyone was obviously really excited when loan forgiveness came around…It’s extremely frustrating because it’s looking at it more as the individual person matters more than the whole in that situation,” said AIC graduate student Mariah Mauke.

If the plan is allowed to continue. it would cancel up to $10,000 of debt for certain borrowers and up to $20,000 for those who received Pell grants. However, the legal challenge is being led by six Republican states who want to see the debt relief plan struck down completely. They argue President Biden does not have the legal authority to wipe out the debt.

So far, the court’s decision to pause the plan doesn’t stop people from signing up, it only stops relief dollars from being distributed. Julie Baker, a financial aid counselor for Western New England University, told Western Mass News that universities have very little to do with the loan forgiveness process.

“I don’t see any reaction here yet with our families. We just refer them to the web page because everything has to go through those legal systems and we don’t have control over that. We just know where to direct our families and their students, so they can find out as much information as we know as well,”