Student Loans

The only good thing that happens when an individual defaults on his or her student loan is that debt collectors make money, according to an Undersecretary at the Department of Education who was speaking during a virtual panel discussion earlier this week. Defaults do nothing more than “drive borrowers who …

A group of nearly two dozen state Attorneys General have written a letter to President Biden and Education Secretary Miguel Cardona, asking them to extend the deadline for individuals to file claims under the Public Service Loan Forgiveness (PSLF) program, arguing that too many eligible candidates are still unaware or …

A group of 176 different organization and advocacy groups sent a letter to President Biden yesterday, calling on him to extend the student loan payment moratorium that is set to expire on August 31, saying that individuals are not “financially prepared” to resume making payments into a system “plagued by …

The Department of Education yesterday announced a settlement in a lawsuit that will see the debts of 200,000 individuals forgiven, wiping out $6 billion in unpaid loans owed by individuals who had filed borrower defense claims that were left pending for years by previous administrations. A copy of the settlement …

A bill has been introduced in the House of Representatives that, if enacted, would prohibit the federal government from cancelling or forgiving federal student loans because the government does not have the authority to do so and because it’s “unfair for taxpayers who paid student loans or did not attend …

A bill has been introduced in the House of Representatives that would allow students to take over debts that were incurred on their behalf under the Parents PLUS loan program. A copy of H.R.7982, the Parent PLUS Loan Fairness and Responsibility Act, can be accessed by clicking here. Under the …

A report released by the National Consumer Law Center and the Center for Law and Social Policy (CLASP) calling for “broad-based” cancellation of student loans, extending the moratorium on making student loan payments, and “strengthening” repayment options, as a means of helping individuals with student loan debts while also closing …

The Department of Education yesterday announced it was canceling $5.8 billion of unpaid student loans taken out by individuals who attended Corinthian Colleges, wiping out the debts for more than 560,000 borrowers in what the department called the “largest single loan discharge” in its history. Issues with Corinthian Colleges date …

There are more than 7 million individuals who have defaulted on their federal student loans, and the current moratorium on making student loan payments is those individuals’ best shots at getting back in good standing, especially with published reports indicating that another extension of the moratorium is likely and that …

There is a lot to unpack in today’s episode of “The Young and the Indebted” with the Secretary of Education, the chair of the House Financial Services Committee, and a former presidential candidate all making comments or taking action to address the issue of student loan debt forgiveness. Let’s begin …