President Joe Biden's federal student loan forgiveness plan was thwarted by a federal appeals court on Monday with the court placing an injunction on the program pending further appeals. This is the latest setback for Biden's loan forgiveness agenda, which was blocked by a federal judge just three days earlier on November 11.
In August, Biden announced a student loan forgiveness plan which would forgive up to $20,000 in student loans for individual borrowers making less than $125,000 annually and married couples making less than $250,000 annually. At the time, Biden also announced sweeping changes to already existing Income-Driven Repayment plans (IDRs), dramatically reducing the amount that individuals would be required to pay back before having their remaining loan balances discharged. Not including the cost of IDRs and other changes, the Congressional Budget Office estimates that Biden's plan would cost $400 billion.
