Trump Administration’s Deal to End SAVE Student Loan Plan: What the December 9 Settlement Means for Millions of Borrowers
Dateline: Washington, D.C. — December 9, 2025 The federal student loan system is facing yet another seismic shift. On December 9, 2025, the U.S. Department of Education and the state of Missouri announced a proposed court settlement that would effectively terminate the Biden‑era Saving on a Valuable Education (SAVE) income‑driven repayment plan, leaving more than 7 million borrowers to navigate a new and still‑uncertain repayment landscape. The Washington Post+1 At the same time, Trump administration officials signaled their intent to end the special payment pause and forbearance protections that had shielded millions of SAVE borrowers from monthly bills for roughly