Students who got partial federal loan relief to see full discharge
Source: LA Times
Thousands of students defrauded by for-profit schools will have their federal loans fully erased, the Biden administration announced Thursday, reversing a Trump administration policy that had given them only partial relief.
The change could lead to $1 billion in loans being canceled for 72,000 borrowers, all of whom attended for-profit schools, the Education Department said.
Borrowers deserve a simplified and fair path to relief when they have been harmed by their institutions misconduct, said Secretary of Education Miguel Cardona. A close review of these claims and the associated evidence showed these borrowers have been harmed, and we will grant them a fresh start from their debt.
The department said it was rescinding the formula used by the Trump administration to determine partial relief and putting in place a streamlined path to receiving full loan discharges.
Read more: https://www.latimes.com/world-nation/story/2021-03-18/students-who-got-partial-loan-relief-to-see-full-discharge