In a break with Obama administration policy, Education Secretary Betsy DeVos announced in December that some students cheated by the now-defunct schools would only get a part of their federal student loan forgiven. In order to determine how much to forgive, the agency analyzes average earnings of graduates from similar programs.
1. What did a California district court rule regarding this loan forgiveness?
2. Why did critics slam the new rule as unfair?
3. How much has the administration spent to fully forgive the loans of tens of thousands of students?
4. How are many claims from students still currently pending at the department?
Danilova, M. (2018). Court: Gov’t violated privacy law for defrauded students. AP News, May 26 (retrievable online at https://apnews.com/af5c2a81a19c4540aeb44855f2e63953/Court:-Gov’t-violated-privacy-law-for-defrauded-students)