A federal judge in Texas ruled that President Joe Biden's plan to provide financial relief to students who have loans was unconstitutional.
A federal judge has ruled that the Department Of Education's student loan relief program is illegal. The decision was made after a lawsuit was filed against the agency by a group called the Job Creators Network Foundation. Under the program, which was unveiled in August, the government would forgive up to $10,000 worth of student loans for people making under $125,000 annually.
A federal appeals court ruled in October that the program, which would provide financial relief to students with student loans, was unconstitutional. Several states, including Arkansas, Missouri, Iowa, South Carolina, and Nebraska, sued the Biden administration to stop it.
The judge ruled that the legislation, which was passed to provide financial assistance to military personnel, did not give the president the authority to create a $400 billion program for student loan forgiveness. Despite the court's ruling, the White House maintained that the program would still go forward.
As a result, students have until December 31 to apply for loan forgiveness. However, the administration is encouraging people to apply before the repayment moratorium on federal student loans ends on November 15.
According to a survey conducted by CNBC, most of the people who applied for student loan forgiveness said they would use the money for travel or food.
The Department of Education did not immediately respond to the Daily Caller News Foundation’s request for comment.
The preceding is a summary of an article that originally appeared on WND.