US Education Department To Forgive $5.8B In Student Loans For Borrowers With Serious Disabilities.

September 1, 2021

ProPublica (9/1, Chavkin) reports the US Education Department “will forgive $5.8 billion in student loans taken out by borrowers who became seriously disabled, the latest in a series of reforms to a troubled program that left many vulnerable borrowers mired in debt they couldn’t repay.” The new guideline “will automatically forgive the debt of borrowers who the Social Security Administration has identified as severely disabled. The department will also move to eliminate a three-year monitoring period after loan discharges that led many borrowers with disabilities to have their debts reinstated due to difficulties with paperwork.”

Last modified on 09/02/2021

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