Federal appeals court terminates Biden's SAVE student loan program affecting millions. The U.S. Court of Appeals for the 8th Circuit finalized the end of the Saving on a Valuable Education plan, which had lowered repayment rates for more than 7 million borrowers. Originally introduced in 2023, SAVE was designed as the most affordable repayment option ever created, uniquely preventing balance growth by subsidizing 100% of unpaid monthly interest. Borrowers must now transition to alternative repayment plans. Options include Income-Based Repayment at 10% to 15% of discretionary income, or the new Repayment Assistance Plan launching July 2026 under the Trump administration, which uses 1% to 10% of adjusted gross income. Those pursuing Public Service Loan Forgiveness should verify eligibility and file applications to reclaim credit for frozen progress months.
