News

Coverage

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.

Read More

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 This loan forgiveness program was originally enacted by the Obama administration to provide student debt relief to students who were misled, defrauded, or otherwise harmed by predatory colleges and universities.

Read More

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.

Read More

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.

Read More

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.

Read More

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.

Read More

Borrower-Defense Rule Saved by Trump Veto but Still Faces Fight in Court | Inside Higher Ed

U.S. Education Secretary Betsy DeVos’s controversial borrower-defense rule cleared one hurdle with President Trump’s veto Friday evening of a congressional resolution that would have undone it. But the rule, which would make it harder for borrowers to have their student debt forgiven if they were defrauded by their colleges, still faces a legal challenge before it is due to go into effect July 1.

Read More

For-Profit Colleges Stole Our Past 10 Years. But Trump Has the Chance to Make it Right. | USA Today

When we met in 2007, we were on our way to achieving the American dream, and we were doing it together. We were students at the now-closed Art Institute of Fort Lauderdale in Florida. Thirteen years and some 25 student loans later, our dreams of marriage, a family and home ownership have been deferred by our overwhelming student loan debt.

Read More

Why Did The CARES Act Give More Money To Hair Schools Than To A Community College? | NBC News

After $14 billion was set aside for higher education in the Coronavirus Aid, Relief and Economic Security Act, Houston Community College and the Paul Mitchell Schools both got financial relief. The Houston college, a public institution with nearly 60,000 students, received $28.3 million. The for-profit hair and cosmetology schools received $30.5 million, despite serving only 20,000 students.

Read More

Students Call College That Got Millions In Coronavirus Relief ‘A Sham’ | NPR

A for-profit college received millions of dollars from the federal government to help low-income students whose lives have been upended by the coronavirus outbreak, but that same school, Florida Career College (FCC), is also accused of defrauding students.

Read More