Emails reveal staff at Missouri Higher Education Loan Authority (Mohela) are confused about why the student loan service provider is targeted in the state’s GOP-led lawsuit challenging President Joe Biden’s student debt forgiveness proposal.
Missouri Student Loan Service Provider Emails Reveal
The Student Borrower Protection Center obtained newly released emails and exposed staff at a student loan service provider in Missouri expressed confusion over the state’s attorney general placing the provider at the center of a lawsuit filed to block President Biden’s student loan forgiveness program.
The Guardian reported that the United States supreme court is anticipated to issue a sentence on a legal challenge to the president’s student debt forgiveness of up to $20,000 in the coming weeks. That challenge brought by the Missouri attorney general and five other Republican-led states and another challenge filed by the conservative advocacy organization, Job Creators Network, reached to the supreme court.
Ella Azoulay a Student Borrower Protection Center researcher and policy analyst had claimed that the emails confirmed the partisan hack job of Missouri’s lawsuit to block student debt relief.
The Missouri Student Loan Service Provider Would Lose Revenue And Faces Negative Impacts
The GOP-led states challenged Missouri Higher Education Loan Authority or Mohela on the grounds that loan service providers would lose revenue and face negative consequences over its financial obligations to Missouri. The consumer advocates have pointed out that Mohela stands to earn revenue from Biden’s cancellation plan.
In court hearings on the challenges earlier this year, US supreme court justices asked why Mohela did not bring its legal challenges to Biden’s debt cancellation plan and how the Republican-led states could claim harm on their behalf.