FOR IMMEDIATE RELEASE
Contact: Allie Arcese
Director of Communications
WASHINGTON, D.C., JUNE 30, 2023 — The United States Supreme Court on Friday issued a highly anticipated and controversial opinion overturning the Biden administration’s student debt relief plan, which would cancel up to $20,000 in student loan debt for eligible borrowers.
“Many financial aid practitioners will tell you their start in the profession was a matter of happenstance. But what made them stay was the desire to make a difference, to change students’ lives for the better, and to help them achieve their dreams through access to education. Crushing debt is not part of that picture.
Today’s decision will be difficult — if not devastating — news for millions of student loan borrowers nationwide who have had their financial futures held in limbo for nearly a year while this plan worked its way through the courts. And as we prepare for student loan payments to resume after more than three years, we must get on with the work of helping these same borrowers face the reality of student loan repayment.
Communication from the U.S. Department of Education will be critical to ensure borrowers are not left worse off as they move back into repayment. We are encouraged by reports that the Department plans to provide students an extended on-ramp to repayment, but schools and borrowers will need more information as the repayment start date quickly approaches. Schools can help in this process, but can only help to the extent that they understand the Department’s plans. We urge the Department to share any plans as soon as possible so financial aid practitioners are well prepared to assist students.
Today’s Supreme Court decision only underscores the urgent need for student loan reform. NASFAA, working with a broad spectrum of stakeholders, has put forward practical and impactful changes that policymakers can enact today that will help alleviate the financial burden many borrowers are carrying. One of the most urgent ways we can decrease reliance on student loans is to dramatically increase investments in need-based student aid like the federal Pell Grant.
Financial aid is about opening the doors of access to higher education, and financial aid administrators want nothing more than to help their students succeed. We stand ready to help students navigate paying for college, and will continue to advocate for public policies that increase student access to and success in postsecondary education.”
NASFAA policy experts are available to speak to members of the media about the impact of the Supreme Court decision. To set up an interview, please email NASFAA Director of Communications Allie Arcese or call (202) 785-6954.
The National Association of Student Financial Aid Administrators (NASFAA) is a nonprofit membership organization that represents more than 29,000 financial aid professionals at approximately 3,000 colleges, universities, and career schools across the country. NASFAA member institutions serve nine out of every 10 undergraduates in the U.S. Based in Washington, D.C., NASFAA is the only national association with a primary focus on student aid legislation, regulatory analysis, and training for financial aid administrators.
Publication Date: 6/30/2023