Politico: U.S. Department of Education Slows Down College Student Debt Repayment

I suppose it was inevitable that Betsy DeVos’s ED Department would side with for-profit colleges that have defrauded students. After all, she invested in such colleges, and Trump notoriously opened Trump University, which was ordered to repay students $25 million for its fraudulent courses.

Politico reports:

DEBT FORGIVENESS SLOWDOWN: Student loan recipients defrauded by their for-profit colleges might have to wait longer to see that debt forgiven by the Education Department. Since President Donald Trump took office, the department appears to have drastically slowed the approval of debt relief to tens of thousands of student borrowers seeking to have their federal loans canceled on the grounds their colleges defrauded them. That’s according to several current and former government officials.

– A department spokesman said in an email to POLITICO that the department “has not stopped approving borrower defensed repayments,” but declined to say how many claims the department had approved since Jan. 20. The spokesman said that Education Department career staff members are leading “a full review of the Borrower Defense to Repayment program and that Education Secretary Betsy DeVos “is committed to protecting students who have been defrauded by schools.”

– Consumer advocates and some state attorneys general are raising alarm bells, however. “The Trump administration is turning its back on struggling borrowers,” said Massachusetts Attorney General Maura Healey, a Democrat who worked closely with the Obama administration on loan forgiveness for defrauded students.

from novemoore http://ift.tt/2pjcw01


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