Millions of people with student loans who had signed up for a Biden-era repayment plan will start seeing interest accrue to their accounts starting on Aug. 1, a change that could result in an additional $300 in monthly costs for the typical borrower, according to one analysis .

The Department of Education announced on July 9 that it planned to restart charging interest for borrowers enrolled in the Saving on a Valuable Education, or SAVE, plan, which was created by the Biden administration in 2023 to help lighten the financial burden faced by millions of student loan borrowers.

But two courts last year issued injunctions against the SAVE plan, effectively halting the repayment program. In response, the Biden administration moved all of the SAVE plan's enrollees into zero-interest

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