What’s actually changing for debtors after July 1?
Join our demand for a payment pause + more ways to plug in.
“No borrower will be required to move off the SAVE Plan until September 29, 2026 at the earliest.” – U.S. Department of Education
Last week, a lawsuit brought by Debt Collective members and student debtors forced the Dept. Ed to admit that the true deadline for SAVE debtors to transition to a new plan is not July 1, but September 29 at the earliest. SAVE debtors who have been stressing out about today’s deadline can breathe easy for now — you still have three months, and maybe even more, to select a new repayment plan.
In other good news for debtors, Trump’s illegal PSLF rule change — which would have stripped debt-relief eligibility from anyone Trump disagrees with politically — was struck down in court yesterday, just hours before it would have gone into effect. Last week, a federal judge also blocked the Department of Education’s attempts to limit federal student loans for “nonprofessional” graduate degrees.
The student loan system is a dumpster fire by design, and the Education Department’s many administrative failures are only adding more fuel to the fire. That’s why we’re calling for an immediate pause on federal student loan payments. Can you add your name to our call?
Read on for updates on our campaigns to organize debtors across higher education, healthcare, and housing, and more opportunities to take action this coming month!
Higher Education
This was a huge month for student debtors! In early June, we brought several SAVE debtors and Debt Collective members to DC to tell Senator Bernie Sanders about the many ways student debt has impacted their lives. We also met with staffers from the offices of Senators Gillibrand, Markey, Warnock, Fetterman, Kaine, and Schumer about our campaign to demand a pause on federal student loan payments.
Meanwhile, the lawsuit brought by Debt Collective members like you continues to move through the courts. These plaintiffs are requesting that the court prevent the Department of Education from forcing debtors into more expensive plans without cancelling the debts of those who have already qualified or allowing debtors to enroll in more affordable plans like REPAYE.
It’s worth noting that no court ever ruled REPAYE illegal. The Department of Education simply did not follow the required rulemaking process, leaving debtors at risk of permanently losing interest subsidies, qualifying months toward cancellation which can’t be re-earned, delinquency, default, and long-term credit damage.
This administration’s decisions have inflicted immediate and irreparable harm to student debtors. Debtors have shared with us that they have had to miss car payments, forgo saving for retirement, change employers, skip meals, and lose stable housing in order to make their student loan payments.
This broken system cannot continue. Join us next Wednesday 7/8 at 7:30pm ET and the following Wednesday 7/15 at 7pm ET for rapid response updates on changes to the federal student loan system and our campaign for a payment pause. Together, we can fight collectively for the debt cancellation that we deserve!
Healthcare
As the higher ed crew gears up to fight for a federal student loan payment pause, our healthcare team has been focused on building the response to the massive federal healthcare cuts taking effect across the country with the rollout of Trump’s budget bill.
For the last few months, we’ve been organizing with members and partners on the ground in Nebraska, where Trump’s pals in the state government set up some of the cruelest elements of the federal healthcare cuts to kick in at the start of May — a full 8 months before most of the country. Montana and Arkansas are about to follow suit, with both states rolling out federal means-testing requirements designed to kick millions of people off their healthcare starting today, July 1.
Nebraska, Montana, and Arkansas are canaries in the coal mine. The cuts they’re rolling out early will take effect through the rest of the country on January 1, and the attacks on Medicaid and other lifesaving social infrastructure are going to send things off the rails fast. The loss of health insurance for millions of working class people, the collapse of safety-net clinics and rural hospitals, and the ongoing explosion of medical debt will affect everyone.
That’s why we’re building an organizing project to look out for our neighbors at risk of losing their healthcare, stand with healthcare workers whose jobs are under threat, and fight for a universal public healthcare system that works for everyday people. Fill out our HealthWatch Interest Form to get plugged in!
Housing
On June 1, we celebrated the one-year anniversary of the Virgil Square Tenant Association’s RUBS strike in Los Angeles, CA! One year ago, tenants supported by the Los Angeles Tenants Union and the Debt Collective began collectively withholding thousands of dollars in monthly utility payments to Equity Residential, the fifth-largest corporate landlord in the nation.
In their first year on strike, the Virgil Square Tenant Association has won back more than $25,000 in refunds to tenants, received local and national press coverage, and encouraged tenants in Seattle to take action against their landlord’s use of RUBS. Virgil Square Tenant Association plans to continue striking until they receive transparency from Equity Residential for how their utilities bills are calculated.
In the aftermath of the California primary election, we’re calling on Democrat Xavier Becerra to support statewide rent control in California. California’s Tenant Protection Act doesn’t cover all tenants in CA, allows high rent increases, and will expire by 2029. California’s next governor must take action to address the state’s housing crisis by committing to strengthen and make permanent the Tenant Protection Act and repeal the anti-tenant Costa-Hawkins Act, which severely limits rent control in California.
Stay tuned for more developments on our campaign for rent control in California and our work to hold corporate landlords accountable to tenants!
Upcoming Events
New Member Call
Wednesday, July 1 7pm ET / 4pm PT
Curious about the Debt Collective and how we’re organizing to abolish debt? Our New Member Call is a space to learn who we are, what we’re fighting for, and how you can plug in. Whether you’re brand new or have been following our work for a while, this call is a chance to get grounded, ask questions, and connect with others who are ready to challenge the debt system together.
Higher Ed Monthly Meeting
Wednesday, July 8 7:30pm ET / 4:30pm PT
If you’re wondering what’s going on with your student loans or how to get involved with the Debt Collective’s higher education campaigns, come join us at our monthly office hours. We’ll cover updates in student loan policy, what to do if you’re in default or on the SAVE Plan, and how to get involved with our campaigns for debt cancellation.
College for All Jubilee School: University Boards – Autocrats or Puppets?
Thursday, July 9 8pm ET / 5pm PT
The boards that govern U.S. universities are unaccountable to faculty, staff, or students, but growing institutional debt is shifting this balance of power. In this session, professors Timothy Kaufman-Osborn and Constance Penley will break down the ways that debt shapes decision-making in higher education and how this vulnerability can be exploited to democratize university governance.
Rapid Response: Federal Student Loan Changes
Wednesday, July 15 7pm ET / 4pm PT
Join us to discuss the different changes that are occurring in the federal student loan system this summer and to learn more about our campaign for a total federal payment pause. We’ll discuss recent changes to repayment plans, campaign updates, and ways that members can get involved.
College for All Jubilee School: Democratizing Knowledge Creation Beyond the University
Thursday, July 16 5pm ET / 2pm PT
50 years of budget cuts, privatization, and political repression have limited what can be taught and researched at U.S. universities. In this session, professors and AAUP organizers Jennifer Ruth and Karim Mattar will use Palestine as a lens to highlight the ways faculty members, AAUP chapters, and unions are taking action to defend academic freedom.
College for All Jubilee School: The Fight for a Free CUNY
Thursday, July 23 5pm ET / 2pm PT
CUNY was once tuition-free. As the largest public urban university in the U.S. continues to be an epicenter for anti-capitalist struggles, CUNY scholars and organizers Noelle Mapes, Conor ‘Coco’ Tomás Reed and Travis S.will offer a counter-institutional strategy that anchors radical intersectional study within universities where indebted people are amassed.
New York Debtor’s Caucus Meeting
Thursday, July 23 6pm ET / 3pm PT
This will be a space for New Yorkers to get together and discuss their debts and strategize to build the world that we want. At the meeting, we’ll discuss the recent changes to the student loan system, hear from members of our Payment Pause and College for All working groups, and discuss ways that members can get involved.
College for All Jubilee School: A History of the College for All Fight
Thursday, July 30 5pm ET / 2pm PT
Join Higher Ed experts Mark Huelsman and Michelle Miller-Adams to discuss a (recent) history of the free college fight and “College Promise” programs in the U.S. We’ll also explore free college models, research, and ongoing policy efforts.
50 Over 50 Monthly Call
Thursday, July 30 7:30pm ET / 4:30pm PT
Are you 50 years old or older? Do you have student loan debt? Join our 50/50 meeting for student debtors aged fifty and above to discuss action steps, organizing plans, and build solidarity. Newcomers are welcome!
Final Friday Flow
Friday, July 31 8:30pm ET / 5:30pm PT
Held on the last Friday of each month, these gatherings are designed to remind us that the path to debt abolition and collective liberation begins within. Through guided somatic and movement-based practices, we’ll transform exhaustion into power, fear into vision, and pain into purpose.
