Circuit court puts final nail in the coffin for Biden's $500M student loan forgiveness plan

A federal appeals court in Missouri has issued a final ruling against President Biden's SAVE student loan forgiveness effort.

Former President Joe Biden's $500 million student loan forgiveness plan was smacked down for a final time in court on Tuesday. (Jacquelyn Martin/AP/Bloomberg via Getty Images)

The Supreme Court of the United States denied the Biden administration’s request to lift a block on the SAVE plan last year. A federal appeals court in Missouri had earlier blocked the entire SAVE program from being enforced while litigation over the merits continues in the lower courts. The Department of Justice, which is part of the Biden administration, most recently asked the high court for emergency relief.

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The Biden administration argued the court went too far when it issued a nationwide injunction, which effectively put a temporary freeze on the SAVE plan.

The U.S. Supreme Court blocked multiple efforts by President Biden to forgive student loans nationwide. (AP Photo)

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Biden introduced SAVE after the Supreme Court struck down his initial student loan forgiveness plan. The White House said that the SAVE plan could lower borrowers' monthly payments to zero dollars, reduce monthly costs in half and save those who make payments at least $1,000 yearly. Additionally, borrowers with an original balance of $12,000 or less will receive forgiveness of any remaining balance after making 10 years of payments.

Fox News' Greg Wehner contributed to this report.

Anders Hagstrom is a reporter with Fox News Digital covering national politics and major breaking news events. Send tips to Anders.Hagstrom@Fox.com, or on Twitter: @Hagstrom_Anders.

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