Source: The American Prospect
by David Dayen
“Since the inauguration of Donald Trump for a second presidential term, a student loan borrower has fallen into default every nine seconds. A federal appeals court wants to accelerate that process. Last week, a three-judge panel of the Eighth Circuit (which includes two Trump appointees and one appointed by George W. Bush) nullified the Biden administration’s income-driven repayment (IDR) program, versions of which have been in place under presidents of both parties for over three decades. The specific Biden-era version, known as Saving on a Valuable Education (SAVE), which nearly seven million borrowers have opted into, was authorized through 2028 by Congress and President Trump in the fiscal mega-bill passed just last year. Yet without any hearing on the merits, the Eighth Circuit unilaterally tossed out the program.” (03/20/26)