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Defrauded Student Loan Borrowers Win, but Still Lose | New York Times

Education Secretary Betsy DeVos is denying huge batches of relief requests from students whose schools defrauded them. Even those who aren’t denied are getting very little — or sometimes nothing.

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Scammed Borrowers Sue Betsy DeVos, Alleging She Illegally Limited Student-Loan Cancellation | Market Watch

Students who’ve been scammed by their schools are being illegally cheated again — this time out of the loan cancellation that they’re entitled to, a new lawsuit alleges. A group of student-loan borrowers filed a class-action lawsuit Tuesday accusing Secretary of Education Betsy DeVos and her department of illegally limiting the amount of relief student-loan borrowers who were misled by their schools receive.

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Student Loan Borrowers Sue DeVos To Overturn Loan Forgiveness Rule | Forbes

Student loan borrowers have filed a new lawsuit against Education Secretary Betsy DeVos. The lawsuit concerns the Borrower Defense to Repayment program. This loan forgiveness program was originally enacted by the Obama administration to provide student debt relief to students who were misled, defrauded, or otherwise harmed by predatory colleges and universities.

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Education Secretary DeVos Sued Over Rule Related to For-Profit College Fraud | Yahoo Finance

The Department of Education (ED) changed its rules on how students defrauded by for-profit colleges seek debt relief, leading to lawsuits and a political fight to return the rule to its Obama-era form and a veto from President Trump in support of the change. Now consumer advocates are suing over related, lesser known Trump administration student debt rule change in another attempt to obtain more relief for defrauded students.

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Betsy DeVos To Be Sued Over Partial Debt Forgiveness Policy | Forbes

Education Secretary Betsy DeVos is being sued again. This time for her new partial debt forgiveness policy under the “borrower defense to repayment” rule. DeVos announced the new policy last year, providing for a way for borrowers who were defrauded by their school to get only a portion of their loans cancelled.

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Consumer Groups to Challenge ‘Partial Relief’ Rule | Inside Higher Ed

Consumer groups are expected to file a federal lawsuit today challenging U.S. Education Secretary Betsy DeVos’s so-called partial relief rule, in which more students get only a part of their student debt forgiven if they have been defrauded by their institutions.

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New Lawsuit Over DeVos’ Partial Loan Forgiveness Policy | Politico

Consumer groups this morning are filing a new legal challenge to DeVos’ policy, announced last year, that will cancel only part of the loan debt owed by federal student loan borrowers who are defrauded by their college.

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Former Students of Defunct ITT Tech Receive $95.1 Million Loan Relief | Wall Street Journal

WASHINGTON—The Education Department is providing loan relief to some 7,800 former students of the ITT Technical Institute, with debts totaling $95.1 million being forgiven by the government years after the giant for-profit school chain closed. The department said that it has identified 7,878 former students of ITT Tech as eligible for a program in which loans are discharged automatically within three years of a school closure. Of those borrowers who attended the school, 7,697 had received loan forgiveness as of Jan. 3.

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Defrauded college students will no longer be taxed on their canceled loans | Washington Post

Student loan borrowers whose education debt has been canceled because their college closed or engaged in fraud will no longer face a tax bill, relief that arrives as applications for forgiveness continue to grow. On Wednesday, the Internal Revenue Service issued guidance shielding borrowers from having their discharged federal and private loans treated as taxable income. The measure is effective for education loans canceled on or after Jan. 1, 2016. Anyone affected by the new policy may claim a credit or refund for an overpayment of taxes.

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Trump’s Education Chief in Hot Seat Over Student-Debt Collection | Bloomberg

U.S. Secretary of Education Betsy DeVos faces potential sanctions or a finding she’s in contempt of court for continuing to collect on the debt of former students at bankrupt Corinthian Colleges Inc., going so far as seizing their tax refunds and wages.

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