Just. Think. About this. For 1 second. As of the fourth quarter of 2025, student loans represented 27.3% of the government's total financial assets, valued at approximately $1.7 trillion. It is no wonder the Mohela lawsuit to kill SAVE was comprised of plaintiffs that were ALL Republican State Loan Servicers. As stated in their lawsuit, the SAVE act was diminishing their source of serious revenue: These Republican-led State servers argued the Department of Education overstepped its authority in creating the plan, which they contended negatively impacted state tax revenue and the operations of state-affiliated student loan entities.
So the main argument wasn’t based on what was or wasn’t fair lending practices for consumers (and attempting to address the see sawing policies of the Department of Ed and these servers).Rather it was litigation to protect their fought for source of revenue on the backs of student borrowers.
Think about this: helping students (many of whom have paid 2-3 times over their original loan amount and still owe more than when they started!) was simply impacting their bottom line.
Now Treasury is going to be coming after defaulted student loans, and perhaps more in the coming months. All while spending billions a day on ‘defense’ and massive tax cuts for billionaires and corporations who don’t need them.
But think about it: student loans are the United States largest financial asset.
Did you know that student loans are the largest financial asset of the United States government?
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