Judge Rejects Settlement Over Stalled Student Debt Relief Claims, Blames DeVos for Harming Borrowers | Washington Post
A federal judge on Monday rejected a proposed settlement between the Trump administration and defrauded borrowers after the Education Department revealed its widespread denials of requests for student debt cancellation. U.S. District Judge William Alsup in the Northern District of California blasted Education Secretary Betsy DeVos for denying 94 percent of the debt relief claims the department has processed since reaching the agreement in April.
DeVos’ Settlement With For-Profit College Borrowers Rejected | Bloomberg Law
A California federal judge rejected a settlement Tuesday that would have given the Department of Education an 18-month deadline to answer loan forgiveness applications by 160,000 students who say their for-profit colleges misled them to get them to enroll.
Judge Rejects Settlement, Fast-Tracks Student Debt Relief Class Action | Courthouse News Service
Finding strong indications of “bad faith” in the way Education Secretary Betsy DeVos denied 94% of student debt relief claims in recent months, a federal judge rejected a proposed settlement Monday night and fast-tracked a lawsuit over long delays in deciding borrower defense claims.
Judge Blasts DeVos’ Sweeping Denials of Student Loan Relief Claims as ‘Disturbingly Kafkaesque’ | Politico
A federal judge scrapped a settlement Tuesday over the Trump administration’s slow processing of loan forgiveness for borrowers who have accused their colleges of fraud, ruling that Education Secretary Betsy DeVos undermined the deal.
Judge Slams DeVos For Blanket Denials Of Student Loan Forgiveness, Cites “Irreparable Harm” To Borrowers | Forbes
A federal judge issued a scathing rebuke to Education Secretary Betsy DeVos for issuing mass denials of student loan forgiveness applications. “The Secretary’s new perfunctory denial notices… contradict her original justification for delay, raise substantial questions under [federal law], and may impose irreparable harm upon the class of student-loan borrowers,” Judge William Alsup, of the U.S. District Court in the Northern District of California, wrote in his decision yesterday.
Defrauded Students Slam DOE’s Loan Relief ‘Blanket Denial’ | Law360
Student loan borrowers defrauded by “predatory” for-profit colleges and seeking relief from crippling debt delivered heartfelt pleas to a California federal judge during a settlement fairness hearing Thursday, seeking assurance that a U.S. Department of Education deal with 170,000 borrowers ends its “smothering blanket denial” of long-awaited loan forgiveness requests.
Education Dept. Left Social Security Numbers of Thousands of Borrowers Exposed for Months | Washington Post
The Education Department left the Social Security numbers of tens of thousands of people seeking student debt relief unprotected and susceptible to a data breach for at least six months, according to people familiar with the matter. Angela Morabito, a spokeswoman for the Education Department, acknowledged the error but called it “nonevent.” The data was “was on the department’s secure, internal server, and there is no indication anyone outside the department could have had access to it,” she said. “There is also no indication anyone inside the department handled this file improperly.”
Whistleblower: Education Department Killed Website That Made Applying for Loan Forgiveness Too Easy | U.S. News and World Report
The Trump administration rejected a website that the Education Department’s Federal Student Aid office designed to help students who have been defrauded by their colleges apply for loan forgiveness, arguing the tool made the process too easy, according to a whistleblower complaint.
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.
DeVos Backs Down, Agrees To Process Student Loan Forgiveness Applications | Forbes
In a victory for student loan borrowers, Education Secretary Betsy DeVos has agreed to process long-stalled applications for student loan forgiveness. Student loan borrowers had submitted nearly 170,000 applications for student loan forgiveness pursuant to the Borrower Defense to Repayment program.