Federal appeals court temporarily blocks Federal Student Loan Debt Relief

The U.S. Department of Education’s (DOE) one-time Federal Student Debt Relief program is currently under litigation and blocked by the 8th Circuit U.S. Appeals Court with a temporary injunction. The federal court of appeals ruled the program unconstitutional Nov. 14.

The Federal Student Aid (FSA) is not currently accepting applications and the department cannot distribute funds. The program will remain on hold until the Supreme Court reviews the case in early 2023. They are set to hear the case in February.

The FSA website currently displays the message, “Student Loan Debt Relief is blocked. Courts have issued orders blocking our student debt relief program. As a result, at this time, we are not accepting applications. We are seeking to overturn those orders. If you’ve already applied, we’ll hold your application. We will post information as soon as further updates are available.”

As a result of the temporary injunction, President Biden extended the moratorium on federal loan repayments through June 30, 2023.

The White House asserts the program’s legality.

“We welcome the Supreme Court’s decision to hear the case on our student debt relief plan for middle- and working-class borrowers this February,” a White House press release states. “The program is also legal, supported by careful analysis from administration lawyers.”

Applications will remain on file for those who already applied. Applicants do not need to take further action.

Students can subscribe for updates about the program on the DOE’s website.