6 Republican states are suing the Biden administration over student-loan relief calling it 'economically unwise and downright unfair'

Six Republican-led states are suing over President Joe Biden's plan to reduce student loan debt.

The lawsuit was filed by Arkansas, South Carolina, Iowa, Kansas, Nebraska, and Missouri.

The suit claims that Biden's student loan relief will have a negative impact on states' revenues and impairs Missouri's loan servicer.

The complaint says that the Biden administration's mass debt cancellation is an example of a long line of unlawful regulatory actions. President Biden does not have the power to relieve millions of people from their obligation to pay loans.

According to the states, the president used the Pandemic as a legal justification for the ability to cancel debt, even though he recently declared the epidemic over.

The result of the policy would not benefit the country, according to the speaker. That's why the president used the now-concluded Covid-19 Pandemic.

A preliminary injunction will be sought by the states. Student loan relief may be paused if that is granted.

Student loan relief is not subject to federal taxes in Nebraska, Iowa, Kansas, and South Carolina. The states will miss out on tax revenue because of this.

President Biden's political play puts college loan debt on the backs of millions of Americans who are struggling to make their mortgage payments. "In the midst of this inflation, President Biden does not have the authority to erase college debt of adults who voluntarily took out those loans."

The White House didn't reply immediately.

As the Department of Education sends out its first guidance to borrowers on how relief mechanisms will work, a number of lawsuits have been filed.

There are two major lawsuits over student loan relief, which many Republicans have decried. The Pacific Legal Foundation filed a lawsuit. They claimed that Frank Garrison, an attorney at the organization, would find himself on the other side of a tax bill over $1,000 because he was eligible for $20,000 in relief.

Garrison is paying off his loans with the help of the Public Service Loan Forgiveness program.

After clarifying that borrowers who qualify for automatic relief can opt out, the Biden administration may have avoided that lawsuit. The Department of Justice said in a Wednesday filing that borrowers will be able to opt out, and that the department was already working to make sure Garrison wouldn't get automatic relief.