Sequoia Carrillo

The Biden administration proposed the program in 2023 with millions signing up within weeks.

Republican state attorneys general, led by the state of Missouri, argued in court that the plan was unlawful because the agency lacked the authority to bypass Congress on a major cancellation of debt.

The plan was struck down in district and appeals courts.

If the judge approves this proposed settlement, more than 7 million borrowers will have a, quote, limited time to select an alternative repayment plan and begin making payments.

Sequoia Carrillo, NPR News.