Biden to deliver remarks on Supreme Court's student loan relief decision

WASHINGTON — President Joe Biden will address the nation on Friday afternoon following the Supreme Court's decision to strike down his student loan relief plan.

Biden was to announce a new set of actions to protect student loan borrowers, according to a White House official. The official was not authorized to speak publicly ahead of Biden’s expected statement on the case and spoke on condition of anonymity. 

It's unclear whether those actions include trying to use other legal authority to cancel student debt, like advocacy groups and some Democratic lawmakers have urged. 

"This fight is not over," Biden said in a statement. "I believe that the Court’s decision to strike down our student debt relief plan is wrong. But I will stop at nothing to find other ways to deliver relief to hard-working middle-class families. My Administration will continue to work to bring the promise of higher education to every American."

The president's address will also outline the administration's next steps, according to his statement.

Biden's remarks follow the Supreme Court's decision to effectively kill the administration's $400 billion relief plan that promised to cancel or reduce student loan debt for millions of Americans. 

The 6-3 decision, with conservative justices in the majority, ruled that the Biden administration overstepped its authority with the plan. The court held that the administration needed Congress' endorsement before undertaking so costly a program. The majority also rejected arguments that a bipartisan 2003 law dealing with student loans, known as the HEROES Act, gave Biden the power he claimed.

The forgiveness program would have canceled $10,000 in student loan debt for those making less than $125,000 or households with less than $250,000 in income. Pell Grant recipients, who typically demonstrate more financial need, would have had an additional $10,000 in debt forgiven.

Twenty-six million people had applied for relief and 43 million would have been eligible, the administration said. The cost was estimated at $400 billion over 30 years.

When will student loan payments be resuming?

Following Friday's Supreme Court decision, borrowers will still have a few months to get their finances in order before payments are due and interest resumes on student loans. 

The Department of Education previously confirmed that student loan interest will kick in starting Sept. 1, but borrowers won't need to make payments until October. 

The department didn't provide a specific date for payments to begin in October.

In an emailed statement, a spokesperson for the DOE said the Biden administration was still working to ease the transition back to monthly payments for millions of Americans. The statement said the administration would be in touch directly with borrowers and loan providers ahead of October.