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Trump Is About to End a Crucial Program for People With Student Debt

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yesterday

The Trump administration has moved to strip millions of student debt holders from the Saving on a Valuable Education, or SAVE, repayment plan.

The White House proposed a joint settlement with Missouri Tuesday that will force borrowers onto other repayment plans.

“As part of the proposed joint settlement agreement, the Department will not enroll any new borrowers in the illegal SAVE Plan, deny any pending applications, and move all SAVE borrowers into legal repayment plans,” the Education Department announced in a statement.

“If the agreement is approved by the court, it will mark the definitive end of the Biden Administration’s illegal student loan bailout agenda, putting it to rest once and for all, and end the limbo that more than 7 million borrowers currently face when it comes to not being able to make payments on their federal loans.”

The Joe Biden–era income-driven loan option has been blocked since February, when the Eighth U.S. Circuit Court of Appeals determined that the former president had overstepped his office’s authority when he invented the repayment alternative.

A coalition of Republican-led states argued in the lawsuit that Biden had intentionally attempted to craft the student loan relief scheme after an ultraconservative Supreme Court ruled 6–3 to shoot down his formal federal student loan forgiveness plan. That would have erased as much as $20,000 per borrower for 43 million Americans.

Since the court ruling, more than 7.6 million Americans have been placed in SAVE forbearance, the Education Department determined in July, offsetting their payments until 2028.

More than 42 million Americans—or one in six adults—currently have student loans. Their collective debt amounts to more than $1.6 trillion, according to the Congressional Research Service.

Donald Trump is blaming his predecessor, Joe Biden, too much, and his aides are trying to get him to stop.

Trump’s economic policies have caused food prices to go up and increased affordability issues, but the president remains in deep denial, calling affordability a Democratic hoax and “scam.” The president has chosen to respond to any bad news about the economy by complaining about a president who hasn’t been in office for almost a year, and his staff worries that this will backfire on the American people.

“Joe Biden is no longer a threat to them because he’s out of office, he’s never going to be in office again,” one adviser told CNN. “You’ve got to feel their pain. You’ve got to talk about it every day.”

But is the president willing to admit that costs have gone up for most Americans? In an interview with Politico Monday, Trump said if he were grading the economy, he would give it an “A-plus-plus-plus-plus-plus.”

POLITICO: I wonder what grade you'd give the economy

TRUMP: A

POLITICO: A ?

TRUMP: A pic.twitter.com/hfqExeJ11a

If that were true, why did the president announce a $12 billion bailout for farmers on Monday? Trump told those farmers that it’s because “we inherited a total mess from the Biden administration.” But the public isn’t buying explanations like that. In a poll late last month, 49 percent of respondents said the president has done more to increase prices, while only 24 percent said he’s done more to lower prices. Trump is even losing Republican allies in Congress on the economy.

To try and fix the public perception, Trump is going to be making trips around the country, beginning with a Pennsylvania swing district on Tuesday. It may not be enough, especially in the likely event that Trump finds another excuse to blame Biden on the trip. That won’t convince working people, who can see prices shooting up with their own eyes.

Defense Secretary Pete Hegseth’s rollout Tuesday of the U.S. military’s new AI platform just fell flat on its face.

“The future of American warfare is here, and it’s spelled A-I,” Hegseth said in a video on X, announcing GenAi.Mil, the new “American-made” AI platform that will allow military members to “conduct deep research, format documents, and even analyze video or imagery at unprecedented speed”—and all without using their brains.

Unfortunately for Hegseth, his post presented a slight problem.

The name GenAi.Mil automatically produced a link to an empty website. So X users thinking they were about to get a sneak peak at the military’s new chatbot were greeted by a message reading: “Upstream connect error or disconnect/reset before headers. reset reason: connection termination.” Predictably, the platform can’t actually be accessed from external networks, but the wonky rollout triggered eyerolls across the internet.

One popular post on R/Army, the Reddit forum dedicated to military matters, suggested that service members had all received surprise invitations to use the new platform on their work computers. But having never heard about it before receiving the invite, the user deemed that it looked “really suspicious.”

“Is it real and safe,” the user asked.

The invite........

© New Republic