WASHINGTON (AP) — President Joe Biden’s latest attempt at student loan cancellation is free to move ahead — at least temporarily — after a judge in Georgia decided that a legal challenge should be handled by a court in Missouri. Biden’s plan has been on hold since September after seven Republican-led states challenged it in federal court in Georgia. But on Wednesday, a federal judge decided not to extend the pause and instead dismissed Georgia from the lawsuit, finding that it lacked the legal right, or standing, to sue.
U.S. District Court Judge J.
Randal Hall opted to send the suit to Missouri, one of the remaining states in the case. On Thursday, those states filed a request asking the Missouri court to block the plan. Without a new obstacle, the Biden administration could push the proposal toward the finish line as soon as Friday.
The Education Department would be free to finalize a rule paving the way for cancellation, though it would likely take days or weeks to carry out. Biden’s plan would cancel at least some student loan debt for an estimated 30 million borrowers. It would erase up to $20,000 in interest for those who have seen their original balances increase because of runaway interest.
It would also provide relief to those who have been repaying their loans for 20 or 25 years, and those who went to college programs that leave graduates with high debt compared to their incomes. Biden told the Education Department to pursue cancellation through a federa.