The Future of Student Loan Forgiveness Plans in Question Amid Supreme Court Decision and Congressional Debates.

The Supreme Court is expected to rule against President Biden's student loan forgiveness plan, but there are alternative paths for loan forgiveness. The Biden administration could use the Higher Education Act's "compromise and settlement" authority to forgive federal student debt. This authority has already been used to forgive debt through the Public Service Loan Forgiveness program and other income-based programs. The administration could also justify debt cancellation by arguing that it is necessary to avoid a cycle of defaults and unpaid debts or to prevent legal challenges from borrowers who were approved for debt cancellation under the original Biden plan. The rollout of a new plan would look different from the original plan and could be issued either as a regulation or an order.