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Education Secretary Betsy DeVos Rolls Out New Method for Approving Student Debt Relief Claims | Washington Post

Education Secretary Betsy DeVos is doubling down on a controversial policy of granting partial debt relief to students defrauded by their colleges, despite ongoing legal challenges and a congressional inquiry. On Tuesday, the Education Department released an updated methodology for processing loan forgiveness claims made under a statute known as borrower defense to repayment.

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Education Department Erroneously Collected Additional Corinthian College Loans | Politico

In October, after the Trump administration initially said it erroneously collected on the loans of some 16,000 Corinthian borrowers, a federal judge held DeVos in contempt of court and imposed a $100,000 fine for violating an order to stop collecting on student loans from the defunct for-profit college. Now, according to the department, that means a total of 45,801 borrowers “were erroneously taken out of forbearance or stopped collections status.” That includes the roughly 29,000 newly identified borrowers, plus the original 16,034 borrowers. “FSA has now placed all 45,801 borrowers in the correct status,” the government’s court filing said.

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Time 100 Next | Time

Years before student debt would be widely considered a national crisis—Americans now owe a combined $1.6 trillion—Toby Merrill started using litigation to fight what she calls the “worst-of-the-worst student debt,” the kind incurred by students who enrolled in predatory for-profit colleges that burdened them with debt and provided them with worthless degrees.

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