President Biden’s first attempt to forgive student debt was blocked by the Supreme Court. His administration has since crafted a new plan that they believe will survive legal challenges. Here’s why:
* **Narrower Scope:** This plan targets specific groups of borrowers, such as those in repayment for decades or who attended schools with low financial value.
* **Different Legal Justification:** The administration is now using the Higher Education Act as its legal basis, which grants the education secretary authority to waive or release student debt.
* **Negotiated Rulemaking Process:** The administration is using a more involved regulatory process to make it harder for courts to strike down the relief.