What's next for 7 million borrowers losing the SAVE repayment plan

A series of court rulings has put the SAVE repayment plan on track to end. The 8th Circuit ordered a district court to approve President Donald Trump's proposed settlement with Missouri to eliminate SAVE ahead of its 2028 phaseout. Once the settlement is approved, the Department of Education can move borrowers into other repayment options that are likely to raise monthly payments.

Undersecretary of Education Nicholas Kent said, 'In the coming weeks, the Department will issue clear guidance on next steps for borrowers enrolled in the illegal SAVE Plan, including details regarding how borrowers can move into a legal repayment plan.' The department says it will not enroll new borrowers in SAVE, will deny pending SAVE applications, and will transition current SAVE borrowers into existing repayment plans.

It has also advised borrowers to use Federal Student Aid's Loan Simulator to estimate new monthly payments.

United States, Missouri

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