#Debt Settlement Programs

[loansmee]

Ready to take charge of your financial future? Consolidate your debt today and streamline your payments into one step. Say goodbye to multiple bills and stress-free financial freedom. Take the first step towards a debt-free life and consolidate your debt now!

[sandy1674686]

Legal Debt Settlement Agency Provide Legal Support and Litigation Assistance:

Legal Debt Settlement services are crucial in complex cases or when debtors refuse to cooperate. Their expertise allows them to evaluate the feasibility of legal action, form alliances with legal professionals, and even commence litigation if required. Thanks to their involvement, businesses can benefit from ongoing legal support and guidance throughout the entire debt recovery process

This partnership guarantees access to specialized knowledge and litigation assistance, making it easier for businesses to navigate the complexities of debt collection and overcome obstacles. With legal support at their side, companies can approach debt recovery with increased confidence and efficiency.

[floridataxattorneysmiami]

How Tax Relief Programs Can Ease Your Financial Burden

Tax relief programs are designed to help individuals and businesses reduce their tax burden and navigate financial hardships. These programs offer a range of benefits, including tax deductions, credits, and settlement options that can make tax obligations more manageable. Understanding how tax relief programs work can provide significant financial relief and prevent unnecessary stress related to unpaid taxes.

One of the key ways tax relief programs ease financial strain is by offering installment agreements. When taxpayers owe a significant amount and cannot afford to pay in full, the IRS and state tax agencies provide installment plans that allow for gradual repayment over time. This prevents individuals from facing severe penalties and potential legal actions while allowing them to clear their tax debts in a structured manner.

Another crucial aspect of tax relief is the Offer in Compromise (OIC) program. This option allows eligible taxpayers to settle their tax debt for less than the full amount owed. The IRS evaluates factors such as income, expenses, and asset equity before determining if a lower settlement is appropriate. For those facing genuine financial hardship, an OIC can be a lifeline, helping them avoid overwhelming debt while fulfilling their tax obligations.

Penalty abatement is another beneficial feature of tax relief programs. Many taxpayers accrue penalties due to late filings, missed payments, or errors in their returns. The IRS may waive these penalties if the taxpayer can demonstrate reasonable cause, such as medical emergencies, natural disasters, or unforeseen financial difficulties. By eliminating unnecessary penalties, taxpayers can focus on paying the actual tax amount without additional financial strain.

Tax relief programs also include hardship status or Currently Not Collectible (CNC) status. If a taxpayer can prove that paying their tax debt would cause extreme financial hardship, the IRS may temporarily halt collection efforts. While the debt is not erased, it provides temporary relief and allows taxpayers to recover financially before addressing their tax obligations.

For homeowners, tax relief programs such as the mortgage interest deduction can significantly reduce taxable income. Deductions on state and local taxes, student loan interest, and medical expenses further alleviate financial burdens by lowering overall tax liability. Tax credits, such as the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC), offer additional relief, particularly for low-to-moderate-income families.

Small businesses also benefit from tax relief initiatives, including deductions for business expenses, depreciation, and credits for hiring employees. Programs like the Employee Retention Credit (ERC) and Work Opportunity Tax Credit (WOTC) encourage businesses to retain workers and support economic growth while reducing tax liabilities.

Seeking professional assistance is often a wise step when exploring tax relief options. Tax professionals and enrolled agents can help assess eligibility for various programs and negotiate favorable terms with the IRS. By leveraging expert advice, taxpayers can maximize their savings and ensure compliance with tax laws.

Tax relief programs provide essential support for individuals and businesses struggling with financial challenges. By understanding available options, taxpayers can take proactive steps to reduce their tax burden and regain financial stability. Utilizing these programs effectively can prevent severe consequences and provide much-needed financial relief.

[sadanseo]

Crucial Information Regarding Your Right to a Free Tax Consultation

The practice of tax law requires specialized knowledge and experience because the field is complex and constantly changing. A free consultation tax attorney is a lawyer whose exclusive area of practice is tax law. These lawyers can manage any complexity or simplicity in your tax situation. They are masters in managing intricate legal tax circumstances and have unmatched knowledge of the law and its implementation. You need a tax law specialist attorney if you or your business requires assistance with tax planning, representation in disputes with tax authorities, or just making sure you're following the law.

Common duties include evaluating recently established tax laws, assisting clients in tax court, and counseling clients on the tax ramifications of corporate activities and transactions. The significance of tax attorneys who provide free consultations and how they assist clients in comprehending and adhering to the intricate web of tax regulations will be discussed in the paragraphs that follow.

The tasks of a tax attorney could include

An attorney who practices just tax law is known as a "tax lawyer". They provide financial planning guidance to maximize tax conditions, adhere to tax laws, and settle disputes with the Internal Revenue Service or other tax authorities. Very little attention is paid to business taxes, estate taxes, foreign taxes, and tax debt. Many tax lawyers are employed by accountancy or legal firms. It's possible that a few of them work for themselves and manage their own businesses.

Tax attorneys that offer free consultations usually counsel clients on several strategies to receive favorable tax treatment. Lawyers not only create and negotiate contracts and other legal documents, but they can also represent clients in court, including tax court. Tax attorneys typically assist customers of accounting and consulting firms in adhering to tax laws.

Reason of hiring a tax attorney

Developmentof an estate:

Tax professionals can assist you with estate planning duties such establishing trusts, distributing assets to close relatives, and finishing required documentation during a free consultation.

Fixing up a business:

You can reduce your taxable income when you plan for the start-up, acquisition, sale, or growth of your company by scheduling a free consultation with a free consultation tax attorney.

Not being subject to taxes:

Tax attorneys provide free consultations if you need assistance disputing or resolving an overdue amount with the IRS or another tax agency. For example, they can assist you in selecting a joyful, innocent spouse or an offer that can be modified.

Qualities of a tax attorney to take into account

Acquiring legal authority to practice law

If a tax lawyer is licensed to practice law and offers free initial consultations, then they can. To find out if a tax lawyer is authorized to practice law in your state, go to the website of the bar organization in your state.

Recommending a greater level of investigation or attention

Most states require you to complete law school before granting you a license to practice law. Only the most experienced tax attorneys are able to obtain a Master of Laws (LL.M.) in taxation.

The TIN of the person making the arrangements

If you file tax returns for money, you must obtain a tax identification number from an IRS accountant. Without the tax preparer's signature and PTIN, your tax return cannot be filed.

Final Words

Get the most individualized tax advice and assistance possible by scheduling a free appointment with a free consultation tax attorney. In this way, it is free to talk with a tax attorney. You can receive individualized assistance with your tax situation without needing to pay anything up front. If you need assistance understanding the rules, you can get a free consultation with a tax attorney.

[lexingtontaxgroup]

🌟 Navigating Tax Debt: Insights from CEO Adam Hastie 🌟

Hey Tumblr community,

I hope this message finds you well. Today, I want to address a topic that affects many of us: tax debt. As the CEO of Lexington Tax Group, I've seen firsthand the impact that IRS tax debt can have on individuals and families. That's why I'm here to share some valuable insights and resources with you.

If you're feeling overwhelmed by tax debt, it's essential to know that you're not alone. Many people find themselves in similar situations, facing uncertainty and stress. However, there are options available to help ease the burden and provide relief.

At Lexington Tax Group, we specialize in guiding individuals through the process of qualifying for hardship programs. These programs, such as Offer in Compromise (OIC), Installment Agreements, and Currently Not Collectible (CNC) status, are designed to offer financial assistance and create manageable pathways towards tax debt resolution. Our dedicated team is here to provide personalized support and expert guidance every step of the way.

Whether you're considering an Offer in Compromise, an Installment Agreement, or another hardship program, we're here to help you navigate the complexities of the IRS system and find the best solution for your unique situation.

Our services extend beyond just IRS tax debt relief. We also provide assistance with Innocent Spouse Relief, IRS Fresh Start Initiative programs, penalty abatement, tax debt negotiation, and more. Our goal is to empower you with the knowledge and resources needed to achieve financial freedom.

To learn more about how Lexington Tax Group can assist you, visit our website at www.LexingtonTaxGroup.com or give us a call at 800-328-8289. Our team is ready to provide the support and expertise you need to move forward with confidence.

Remember, there's always hope, even in the face of tax debt. Together, we can overcome this challenge and build a brighter financial future.

Wishing you peace of mind and prosperity,

Adam Hastie CEO, Lexington Tax Group

[optpy]

CuraDebt offers a debt settlement program designed to help individuals struggling with overwhelming debt. Their program aims to negotiate with creditors to reduce the total amount owed, providing a more manageable repayment option. CuraDebt provides professional assistance and guidance throughout the debt settlement process. While debt settlement can provide relief for individuals struggling with unmanageable debt, it is essential to consider debt settlement pros and cons.

[aurianavaloria]

✨ Sicut In Cælo Et In Terra - Chapter 11 ✨

SICEIT has been updated! Check out the new chapter on Ao3 here or at Wattpad here!

They’d only been residents of this medieval holy city for roughly three weeks, and already Tabitha had made quite the impression on the local populace. But where she had ideas to do help those in need – no matter where they lived around the city or where they fell on the ladder of social hierarchy, apparently – Ned was more than willing to keep everything on the down-low for now, satisfied to restrict his good deeds to those who had done him a favor in turn; as far as he was concerned, at the present moment, his primary debt was to the Sarkisyans, and as long as they enabled him to remain sheltered and fed, it would stay that way. As such, he wasn’t too enamored with all the attention Tabitha’s work had brought them both, even though he simultaneously understood her motivations. The last thing they needed was to be overly-scrutinized, which would undoubtedly result in being picked apart by a superstitious mob… And yet, even so, he had to admit that a cured King of Jerusalem meant better security for them in the long run. Such thoughts made him pause in his stride. The long run. He wondered if it was as difficult for Tabitha to believe as it was for him. That this was their home, now. If you just hadn’t invited her to the holodeck… Again he shook his head, attempting to force those thoughts back as he continued on the small side alley towards – what was it again? The Gate of Sion Street? Something like that, anyway. The sheer number of gates Jerusalem possessed was something he found a little astonishing. Yet he supposed it made sense for a city that served as a hub of religion, culture, and trade… receiving and distributing all three in every direction of the compass. If this were a settlement on a Class M planet in the Delta Quadrant, he could imagine Captain Janeway being very interested in speaking to the locals and exploring here. But living here? Ned wasn’t the best history student in the world, but he did know there was a marked difference between immersing oneself in a safe approximation of this ancient time on the holodeck and actually living the real deal. And though he’d been more than willing to dive right into the former with both feet, the latter – if he was being honest with himself – nearly scared him silly. Hence his pounding heart and sweaty palms at the mere prospects of engaging with anyone beyond his kindly benefactors, who were the only ones thus far who had earned his trust. These weren’t holograms coded with responses and restricted by safety protocols. This wasn’t a program that could be terminated if things went wrong. Oh the irony that it was one such coded program that had sent them here.

Enjoy!

[allthebrazilianpolitics]

Landless rural families from the MST occupy government building to resume negotiations

The Monday's (9) action kicks off the State Day of Struggle for Land and People's Agrarian Reform

More than 500 families from the Landless Rural Workers' Movement (MST, in Portuguese) in Brazil’s Federal District and surrounding areas are occupying Regional Superintendence 28 to resume negotiations on the development of settlements and obtain new land. The action, which began on Monday (9), marks the start of the State Day of Struggle for Land and Popular Agrarian Reform.

According to the movement, it is necessary for the federal government to place agrarian reform at the center of the so-called budget recomposition to move forward with land expropriation and the settlement of over 2,000 families encamped in the Federal District and surrounding areas.

Landless rural families are demanding development and infrastructure policies that have been on hold for years. Among them are the objective resumption of the Terra Sol program, with productive investments in the settlements, renegotiation of the settlers' debts, and resumption of the housing policy focusing on the construction and renovation of houses.

The State Day of Struggle for Land and Popular Agrarian Reform also demands better living and working conditions for settlers in the Federal District and the Integrated Development Region of the Federal District and Surrounding Areas (RIDE, in Portuguese).

Continue reading.

[savvylittlecoxswain]

After coming to the conclusion that Bobby likely won a massive settlement for his botched appendectomy in a modern au, I came up with the following headcanons;

His parents used the money to pay for any and all medical or related expenses he has, but his parents make sure to put a large chunk of the remaining money into some bank accounts. It definitely ensured he'd have no student debt coming out of college l'm sure he had access to a fair amount of his funds after he turned 18 (I'm sure most just sits in a savings account).

Bobby is really private when it comes to his medical history, and therefore he keeps his settlement and such to himself. He's not frivolous with his money, like he's got a small apartment in one of the newer complexes and a nice laptop and an iPad to take notes on during class, but other than that he's not blowing massive amounts on himself. He is, however, sneakily generous.

He'll secretly pay for things for the crew because he loves to spoil his boys. So like throughout the year he'll pay for matching clothing for them like sweatpants, shirts, sweatshirts, long sleeve shirts, shorts, practice uniforms, etc. and pass it off as being issued to them by the university. They'll get donations from "alumni" to fund travel or they'll "find" extra money in their rowing budget for the year to spend on team dinners or outings. Of course, this is always done in collaboration with Ulbrickson because he knows all the bureaucracy that comes with donating to the university.

After practice he hears them talking about how outrageous their rent is so he tells them about the housing assistance program through the rowing team and helps them get a monthly "stipend" from the "university" to go towards housing costs. He plays it off with their coach saying he doesn't want his crew stressing out about money issues because it'll impact their rowing but he really just loves them and wants to help them < 3

[tussive]

My grandmother wanted me to call about this loan offer I got to see about paying off her loan, because she isn't able to pay it since she lost her VA so I've been paying it and we were hoping to get a lower rate.

I am pre-qualified for a loan of $18,500, but I'm already approved for this other thing. It's a like debt consolidation program. So they would take my previous debt consolidation loan, my PayPal credit line and my PayPal credit card. I'd pay them $302 a month I think it was for 36 months and they would work with those companies to get settlements so they would all be paid off within the timeframe. That would save me $250 a month and pay off two more of my bills.

So I'm looking into the company but I think I'm going to do it? That sounds like a smart idea. I want to talk to my grandmother about it since I was supposed to do this for her loan, so I want to make sure she's not upset about that and she's on the phone right now. But an extra $250 a month would be a pretty big shift in my finances, which kind of sucks that little bit would help but it would lmao.

[floridataxattorneysmiami]

Eligibility Criteria for Various Tax Relief Programs: A Comprehensive Guide

 Navigating tax obligations can be challenging, especially during times of financial hardship. Tax relief programs are designed to assist taxpayers in managing their obligations, but eligibility criteria can vary significantly depending on the program. Understanding these criteria is crucial for qualifying and taking advantage of the support available. Here’s an in-depth look at the eligibility criteria for some of the most common tax relief programs.

1. Offer in Compromise (OIC)

An Offer in Compromise allows taxpayers to settle their tax debt for less than the total amount owed. The IRS considers it when paying the full tax liability would create financial hardship.

Eligibility Criteria:

Income and Expenses: Your ability to pay is evaluated based on your income, expenses, and asset equity.

Compliance with Filing Requirements: Applicants must have filed all required tax returns and made estimated tax payments for the current year.

Non-Bankruptcy Status: Taxpayers cannot apply for OIC if they are in an open bankruptcy proceeding.

Doubt as to Collectibility or Liability: You must demonstrate either that the IRS cannot fully collect the debt or there’s a legitimate dispute about the owed amount.

2. Installment Agreements

Installment agreements allow taxpayers to pay their tax liabilities in smaller, manageable payments over time.

Eligibility Criteria:

Debt Threshold: Individuals generally qualify if they owe $50,000 or less in combined tax, penalties, and interest. For businesses, the threshold is $25,000.

Filing Compliance: You must be current with all tax filings to be eligible.

Financial Disclosure: In some cases, the IRS may require a detailed financial disclosure to determine your ability to pay.

3. Innocent Spouse Relief

This program is for individuals who believe they should not be held responsible for the tax liabilities caused by a current or former spouse.

Eligibility Criteria:

Filing Jointly: The tax debt must result from a jointly filed tax return.

Unawareness of Error: You must demonstrate that you were unaware (or had no reason to know) of the understatement or errors.

Equity Considerations: It would be unfair to hold you accountable given the circumstances.

4. Currently Not Collectible (CNC) Status

CNC status temporarily halts IRS collection activities for taxpayers who cannot pay their tax liabilities due to financial hardship.

Eligibility Criteria:

Proof of Hardship: You must provide evidence, such as income and expense statements, showing that paying the debt would prevent you from meeting basic living expenses.

Compliance: All required tax returns must be filed.

5. Tax Credits and Deductions

Tax relief can also come in the form of credits and deductions that reduce your overall tax liability. Examples include the Earned Income Tax Credit (EITC), Child Tax Credit, and deductions for medical expenses or education.

Eligibility Criteria:

Income Limits: Many credits, like the EITC, have strict income thresholds.

Qualifying Dependents: Some credits require having dependents who meet specific age and relationship criteria.

Specific Expenses: Deductions often require documented evidence of qualified expenses.

Tax relief programs can provide invaluable support for individuals and businesses facing financial strain. However, eligibility hinges on meeting specific criteria, including income levels, compliance with tax filing, and proof of financial hardship. Consulting a tax professional or using IRS tools can help you identify the most suitable programs for your situation and streamline the application process.

By understanding the requirements and taking proactive steps, you can alleviate the burden of tax debt and regain financial stability.

[sadanseo]

Significance of Tax Settlement Services

A "tax settlement" is an agreement between a taxpayer and the IRS or a state taxation body to settle a tax dispute by agreeing to pay a smaller sum. This resolution technique yields substantial savings in a short period of time, making it highly recommended. While the IRS does not formally offer a "Tax Settlement" program, they may provide other dispute resolution procedures that may result in a smaller payment. The goal of settling tax bills with the Internal Revenue Service is achieved through a number of tax settlement services. Here you will know about the key components of each method in this piece, beginning with the one that might result in cost savings right away.

How are tax settlements processed?

One of two options exists for settling a tax debt: either work out a different payment plan with the Internal Revenue Service, or negotiate a smaller sum than what really owes. In any event, the taxpayer must adhere to the terms of a tax settlement agreement with the IRS. Before making a decision, the taxpayer must first select the kind of tax settlement they would like to apply for and then submit the necessary documentation to the IRS for review.

The taxpayer may choose to fill out the papers themselves or have the returns filed on their behalf by a licensed tax professional. In most cases, the only parties engaged in a tax settlement negotiation are the individual and the applicable tax authorities. If the taxpayer decides to work with an experienced lawyer from tax settlement services, then another party might be included in the negotiation process. Surprisingly, companies that specialize in tax settlement may also help people cut their expenses. This is due to the fact that many people discover that speaking with a tax relief specialist produces excellent outcomes. As soon as both parties have agreed upon the settlement, the taxpayer will be deemed to have been in good standing with the Internal Revenue Service (IRS) for the tax year or years that the settlement covered, barring default or failure to comply with all of the terms of the agreement.

Who can get a package of tax settlement payments?

The Internal Revenue Service (IRS) provides settlement options to individuals who are in financial hardship or who have good reason to have their penalties lowered. Not every individual satisfies the prerequisites for tax settlement. It is true that the vast majority of taxpayers do not meet the requirements; in fact, very few do. The Internal Revenue Service states that a person's financial position has a significant impact on their ability to pay taxes.

The IRS typically has a good basis to think that a settlement would be the best course of action when it discovers that the taxpayer is experiencing financial difficulties. If the Internal Revenue Service (IRS) or tax authorities determine that the person has sufficient income to pay the entire amount owed, they may reject the tax settlement request. An alternative would be for the IRS or the tax authority to offer a payment plan in which a specified amount is payable every month until the debt is paid off.

The Advantages of Tax Settlement Agreements

For taxpayers in financial need, a tax settlement may offer various benefits. One of the main advantages is that you could be able to settle your tax due for less than the entire amount owed. The IRS could be willing to forego more drastic collection procedures like levies, seizures, or wage garnishments if you can work out a tax settlement with them. In this way, you can better secure your assets and income. With a successful tax settlement with the IRS tax settlement services, those who have struggled with tax debt may be able to start again. This is an opportunity to move on from the past and, in a sense, start anew.

[reasoningdaily]

Farmers of color plan to appeal a recent federal court judge’s ruling, which they say is a continuation of Jim Crow and erases their commitment to right the historical wrongs against them.

Six months ago, John Boyd Jr., Kara Boyd, Lester Bonner, and Princess Williams filed a class-action lawsuit against the U.S. government, including the United States Department of Agriculture. The farmers alleged the government broke its promise when it failed to pay the eligible debt for farmers of color because Congress repealed a $4 billion debt relief program for socially disadvantaged farmers and ranchers — which includes Black, Native American, Hispanic, and Asian communities. 

Instead, they created a race neutral program to replace it, which the plaintiffs say was a “blatant attempt to skirt its contractual commitments” to them and other farmers. As a result, farmers can’t pay off their debts, according to the lawsuit. 

“They have to know that this is a continuation of Jim Crow, and a continuation of what free Black men and women went through in this country. This is a continuation of that because we see it as another broken promise,” Boyd Jr., president of the National Black Farmers Association, said last week. “Just like my forefathers, I ain’t giving up the fight.”

The U.S. Justice Department argued in a March 10 filing that the legislation established the financial assistance program, “not contractual undertakings.” The department asked for the complaint to be dismissed for “failure to state a plausible claim for relief.”

Senior Judge Edward J. Damich for the United States Court of Federal Claims agreed in an April 27 opinion, saying there wasn’t an expressed or implied-in-fact contractual agreement between the farmers and the federal agency.

“Instead, the program reflects Congress’ intent only to “declare a policy to be pursued until the legislature shall ordain otherwise,” not an intent “to create private contractual or vested rights,” Damich wrote.

The original loan forgiveness program at the center of the complaint passed in March 2021 as part of the American Rescue Plan Act, offering up to 120% of the outstanding indebtedness to address historical inequities and funding disparities by the USDA. 

Black farmers saw this as the first step to repair the broken relationship with the federal government, especially after the landmark Pigford v. Glickman, a class-action lawsuit alleging the USDA discriminated against Black farmers from 1983 to 1997 when they applied for federal financial assistance, and failed to respond to complaints of discrimination. The court approved a settlement in 1999. While some Black farmers received payments, thousands did not because of confusing paperwork, filing deadlines, denials of claims, processing issues and attorney malpractice, NPR reported.

In June 2021, the same month the USDA planned to start loan payments to eligible borrowers, a judge issued a restraining order on the program in response to a lawsuit brought by a group of white farmers alleging that debt relief racially discriminated against them. 

“The discrimination is just not with the USDA. It also goes deep into the court system,” farmer Corey Lea told Capital B in December. “It’s crazy how the white farmers got it done within 30 days and Black farmers, if they get any justice at all — most of the time, no — they’re in [the courtroom] for years. It’s a systemic problem.”

Rather than implement the existing loan forgiveness program, the Inflation Reduction Act, which was signed into law last year, replaced it with assistance for a broader group of “distressed borrowers.” 

The act provides $125 million for technical assistance regarding food, agriculture, and agricultural credit to underserved farmers, ranchers, or forest landowners, including those living in high poverty areas. Another program provides $2.2 billion for farmers who have experienced discrimination prior to January 2021 by the Agriculture Department’s farm lending programs. Recipients can receive up to $500,000 each. 

In September, all parties agreed to dismiss the lawsuit in response to the Inflation Reduction Act. A month later, Boyd Jr. filed suit. He said the relief from the original program in the American Rescue Plan Act would’ve made a big difference in helping farmers to wipe their slate clean — especially for Bonner and Williams, who have struggled to make ends meet or pay off mounting bills.

“This administration … just abandoned us, left us out there high and dry. That’s why I turned to the courts,” Boyd Jr. said.

[newyorkprelawland-blog]

President Joe Biden’s Student Loan Forgiveness Plan Struck Down

By Tannu Punn, The State University of New York Cortland, Class of 2025

July 13, 2023

President Joe Biden lost a Supreme Court case on June 30th, but so did all the millions of student loan borrowers that would have saved thousands in debt. In August 2022, the Biden-Harris Administration introduced the student loan forgiveness plan to help working and middle-class federal student loan borrowers transition back into regular payment after COVID-19-related support ended. This plan included up to $20,000. To be eligible for this forgiveness, Pell Grant recipients could receive up to $20,000, while non-Pell Grant recipients could receive up to $10,000 if their individual income is less than $125,000 or $250,000 for households. [1]

The challengers of the student loan forgiveness plan in Biden v. Nebraska were six states with Republican attorney generals who argued that the loan forgiveness plan violated several federal laws and the HEROES Act. However, to successfully strike down this lawsuit, the plaintiffs had to prove that the policy injured a party or multiple parties; it is not enough to say that the plaintiffs disagreed with the policy. Chief Justice Roberts claimed that the student loan forgiveness plan did not follow through with the Heroes Act because the Act gives the secretary of education the right to modify and waive laws governing student loans and not completely "transform them." Roberts also mentioned how in previous years, laws were waived for a legal requirement, but in the case of this student loan forgiveness program, there was no such thing. [2] If Congress wanted to give the secretary of education the power to "make vast economic and political significance decisions," it must say it in clear words and the HEROES Act did not say such a thing. Justice Barret joined the majority's opinion with a concurring opinion stating that the Biden administration went beyond what Congress could have reasonably understood to be granted in the HEROES Act.

Shortly after Biden lost the case, he announced how the administration may be able to continue to support relief for student loan borrowers with the use of the Higher Education Act of 1965. The Department of Education issued a notice on July 18th, which is the first step in issuing regulations and following this public hearing, the Department will finalize the issues to be addressed through rulemaking. As this Act allows "compromise and settlement authority," the Administration finalized the SAVE program (Saving on Valuable Education) which will cut borrower's monthly payments in half. [3] More specifically, the SAVE program will allow:

·         For undergraduate loans, the amount that borrowers have to pay will be cut in half from 10% to 5% of discretionary income

·         Forgive loan balances after 10 years and not 20 years for loan borrowers with $12,000 or less

·         If borrowers make their monthly payments, there will be no charge for unpaid interest rates -- even if the monthly payment is $0.

In addition to the SAVE program, there is also an "on-ramp" program for repayment starting October 1st. During this period, borrowers will not face the threat of default or harm to their credit score if they miss monthly payments. [4]

Although this new plan is going to longer to officially start, as it must go through various rule-making federal hearings, Biden is confident that it will not face any legal issues like his previous plan under the HEROES Act did.

______________________________________________________________

[1] https://studentaid.gov/debt-relief-announcement

[2] https://www.scotusblog.com/2023/06/supreme-court-strikes-down-biden-student-loan-forgiveness-program/#:~:text=Supreme%20Court%20strikes%20down%20Biden%20student%2Dloan%20forgiveness%20program,-By%20Amy%20Howe&text=By%20a%20vote%20of%206,%24400%20billion%20in%20student%20loans.

[3] https://www.whitehouse.gov/briefing-room/statements-releases/2023/06/30/fact-sheet-president-biden-announces-new-actions-to-provide-debt-relief-and-support-for-student-loan-borrowers/

[4] https://www.boston.com/news/politics/2023/07/10/biden-has-a-plan-b-for-student-loan-forgiveness-heres-how-it-works/