DeVos Wants to Limit Student Debt Relief
New rules proposed by Education Secretary Betsy DeVos would but some $13 billion in federal student loan relief.
The rule change would affect students who were scammed by for-profit colleges.
It would also repeal the “borrower defense rule,” which was instated by President Barack Obama following the collapse of ITT Tech and Corinthian College.
The protective rule put in place during the Obama administration would have required career-training and trade schools to provide graduation rates and data to continue to receive aid; those schools that had high student debt post-graduation would lose funding.
DeVos has also moved to change the standard for “misrepresentation” when investigating the defrauding of students by for-profit colleges.
Moving forward, students will have to prove that the school had “reckless disregard” if their debt forgiveness claim is to be considered.
DeVos is a vocal supporter of private schools, having exclusively attended private Christian schools herself, and is the sister of Blackwater — now called Acadmi — founder Erik Prince, who recently found himself involved in Special Counsel Robert Mueller’s investigation.
Iron Triangle Press will continue to follow this story.