department of education

Michael

For-Profit Colleges Sue To Stop Rule That Protects Students Of Failed Schools

Federal regulations that aim to protect and refund student loan borrowers defrauded by their schools could end before they even go into place, thanks to a lawsuit filed by the for-profit college industry. [More]

Head Of $1.3 Trillion Federal Student Aid Office Resigns Amid Tension With Betsy DeVos

Head Of $1.3 Trillion Federal Student Aid Office Resigns Amid Tension With Betsy DeVos

New Education Secretary Betsy DeVos is making sweeping changes to federal student aid programs, like taking away protections from borrowers and putting all loan servicing in the hands of one private firm. Now the top official at the Office of Financial Aid has resigned after reportedly butting heads with DeVos and warning his colleagues concerns with the Department’s management. [More]

(MeneerDijk)

DeVos Education Budget Could Make It Harder To Obtain, Repay Student Loans

Days after the Department of Education revealed it would give all student loan accounts to one servicing company and strip away more protections for federal student loan borrowers, Secretary of Education Betsy DeVos outlined the Department’s proposed budget, which goes even further by eliminating or completely overhauling programs intended to make student loans more accessible and easier to repay. [More]

Education Secretary DeVos To Give All Student Loan Accounts To One Company; Strip Away More Protections

Education Secretary DeVos To Give All Student Loan Accounts To One Company; Strip Away More Protections

Education Secretary Betsy DeVos has made another sweeping change to the student loan system that consumer advocates claim favors student loan collectors over the American people repaying those loans. [More]

(Hammerin Man)

Lawmakers Ask Education Secretary DeVos To Explain Delayed Loan Forgiveness For ITT, Corinthian Students

Thousands of former students at bankrupt for-profit schools run by ITT, Corinthian Colleges, and others are still on the hook for millions of dollars in student loans, even though the Department of Education approved their claims for a refund. Now, lawmakers want Education Secretary Betsy DeVos to explain why. [More]

Xavier J. Peg

Trump Administration Looking To End Student Loan Forgiveness Program

This October will mark the first time that student loan borrowers who have worked for 10 years with the government or a qualifying non-profit will be eligible to have their debts wiped clean. It may also be the last time, as the Trump administration is reportedly targeting this and other Department of Education repayment programs for elimination.
[More]

MeneerDijk

The System To Collect Defaulted Student Loans Is No Longer Functioning

Consumers who expected their student loan payments to be deducted from their bank accounts this month have reportedly found the funds untouched, and their calls to the companies unanswered thanks to a Department of Education’s order prohibiting the debt collection companies from working on default accounts in response to two lawsuits against the agency.

[More]

Eric Gjerde

People Paying Back Student Loans Could Also Be Hurt By Outage Of FAFSA Tool

A Department of Education decision take down an online tool that helped student loan applicants file for aid isn’t just making things difficult on students. It’s also a problem for those who are repaying their student loans through a federal payment plan. [More]

Purdue University Buys For-Profit Kaplan University, But Is It A Good Idea?

Purdue University Buys For-Profit Kaplan University, But Is It A Good Idea?

On the surface, Purdue University and Kaplan University don’t have a lot in common: One is a public university from Indiana and the other is a for-profit chain mostly offering online courses. But now they have one rather large thing in common: ownership. Purdue has purchased Kaplan — for a dollar. [More]

Freaktography

21 Attorneys General Call Out Education Secretary DeVos For Removing Student Loan Protections

In response to the decision by Secretary of Education Betsy DeVos to roll back protections for student loan borrowers, a coalition of state attorneys general are accusing DeVos of failing America’s students. [More]

Not Too Late To Get Federal Loan Forgiveness, States Remind Corinthian Students

Not Too Late To Get Federal Loan Forgiveness, States Remind Corinthian Students

Earlier this week, Education Secretary Betsy DeVos rescinded relatively new federal guidelines intended to make the student loan repayment process more accurate and transparent. With the possibility that other federal student loan protections could face the same fate, the Attorneys General from dozens of states are reminding former students of defunct for-profit college chain Corinthian Colleges to apply for federal student loan discharges. [More]

bluwmongoose

Education Secretary DeVos Withdraws Protections For Student Loan Borrowers

Relatively new federal guidelines intended to to make the student loan repayment process more accurate and transparent have all been rescinded today by Secretary of Education Betsy DeVos — a move that consumer advocates says removes accountability for debt collectors and loan servicers. [More]

(This Year's Love)

When Education Dept. Said Your Student Loan Would Be Forgiven, It May Not Have Meant It

One way to erase federal student loan debt is to work for the government or at a non-profit for 10 years. However, thousands of people who received notices from the Department of Education that their federal student loans were going to be forgiven through this program may still be on the hook for this debt, as the Department now says these notices are not binding. [More]

pshorten

Student Loan Debt Collectors Not Eager To Charge Fees Reinstated By Trump Administration

The Department of Education recently advised companies that collect debt on billions of dollars in outstanding federal student loans that they can once again charge a large penalty fee to defaulted borrowers. However, the collectors — even one that is currently suing the government for the right to charge this fee — now say they will not automatically add thousands of dollars in additional debt to loans in default.  [More]

Former Lobbyist, Son Of Student Loan Debt-Collector, Resigns From Dept. Of Education

Former Lobbyist, Son Of Student Loan Debt-Collector, Resigns From Dept. Of Education

In our recent story on the Trump administration’s decision to roll back protections for potentially millions of student loan borrowers, we also told you about new Department of Education advisor Taylor Hansen, a former lobbyist for the for-profit college industry whose father is the CEO of a student loan debt collection company that has been suing Taylor’s new employer since 2015 for the right to charge thousands of dollars in fees to people who are already having trouble paying back their loans. Now comes news that Hansen’s brief life as a federal employee has come to an end. [More]

bluwmongoose

Trump Administration Eases Restriction On Student Loan Debt Collectors

The Department of Education has told federal student loan debt collectors that they are to ignore previous guidance that restricted the fees they could charge to borrowers who defaulted on their loans — even if they immediately enter into repayment programs. [More]

Freaktography

18 Attorneys General Ask Education Secretary DeVos To Not Go Soft On For-Profit Colleges

A number of high-profile for-profit educators shut down or scaled back operations in recent years, among accusations of overcharging and under-educating students, and new rules intended to hold schools accountable. However, these companies’ fortunes began to turn after the election of Donald Trump and his naming of pro-industry Education Secretary Betsy DeVos. That’s why a group of 18 state attorneys general is calling on the administration to not ease up on these controversial schools. [More]

(Sapurah Lashari)

Feds Will Forgive $30M In Federal Loans For Students Of Defunct American Career Institute

Under the “Borrower Defense” program, a student’s federal education loans can be forgiven if they can prove their college used deceptive practices to convince them to enroll. The Department of Education confirmed today that this program will be used to forgive $30 million in federal student loans for thousands of former students from the defunct American Career Institute. [More]