Project on Predatory Student Lending
ITT Student Files New Lawsuit Against Navient for Private Student Debt Cancellation | Press Release
“Attacking the Concept of Debt” | Harvard Magazine
Update | Borrowers Raise Concern over Borrower Defense Denials
Student Advocates Announce Closed School Discharges for Over 30,000 Student Borrowers | Press Release
Student Defense and the Project on Predatory Student Lending issued statements today responding to the U.S. Department of Education’s confirmation that it had discharged loans for over 30,000 student borrowers under the automatic closed school discharge provision of the 2016 borrower defense rule. The discharges include roughly $95.1 million in relief for approximately 7,700 former students of the predatory for-profit college, ITT Tech.
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.
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.
Statement From the Project on Predatory Student Lending on Treasury, IRS Expanding Tax Relief for Borrowers with Canceled Student Loans | Press Release
The Treasury and IRS announced that it would provide tax relief for student loan borrowers who have had their loans discharged as a result of their school’s fraud and misconduct.
Canceling Student Debt Is Easier Than It Sounds | NPR
Sen. Elizabeth Warren, D-Mass., has pledged to cancel up to $50,000 of debt for 95% of student loan borrowers if she is elected president. Sen. Bernie Sanders, I-Vt., has proposed an even more generous plan if he’s elected.
White House contender Warren sees path to cancel student loan debt without Congress | Reuters
Democrat Elizabeth Warren outlined on Tuesday how, if elected to the White House, she would on the first day of her presidency cancel federal student loan debt by using the Department of Education’s pre-existing authority.
Warren Would Bypass Congress to Cancel Federal Student Debt | Bloomberg
Senator Elizabeth Warren proposed Tuesday to ease federal student loan debt with executive authority, in a policy rollout aimed at attracting young voters. Warren said that as president, she would not wait for Congress to approve her plans to cancel or modify federal student debt. Instead, she would directly authorize the Department of Education to provide as much as $50,000 in relief to about 95% of student loan borrowers.
Elizabeth Warren says she will use presidential authority to cancel student loan debt if elected | Boston Globe
White House Contender Warren Sees Path to Cancel Student Loan Debt Without Congress | New York Times
Democrat Elizabeth Warren outlined on Tuesday how, if elected to the White House, she would on the first day of her presidency cancel federal student loan debt by using the Department of Education’s pre-existing authority. Warren had previously called for the cancellation of up to $50,000 in student loan debt for each of about 42 million borrowers, but had not outlined the specific steps she would take or the timing.
Warren vows to cancel college debt without awaiting Congress | Associated Press
Presidential candidate Elizabeth Warren says she’d order her secretary of education to cancel up to $50,000 in college debt for about 95% of student borrowers on her first day in office, effectively erasing outstanding loans for about 42 million Americans. The Democratic senator from Massachusetts vowed in a proposal released Tuesday to act immediately and not wait for Congress because the secretary of education already has broad authority to compromise on and modify student loans.