The Biden administration on Wednesday unveiled new proposals to improve and expand student loan relief programs by trying to make it easier for borrowers who were defrauded by for-profit schools, those who are permanently disabled and public servants to benefit from loan forgiveness.
Student loan borrowers are outside of the White House.
The White House wants to remove limits on when some borrowers can file loan cancellation claims and allow them to file group claims if their school closes or they are taken advantage of.
The Department of Education proposed a rule that would prevent schools from requiring borrowers to sign agreements in order to resolve disputes.
The Department of Education said that the new regulations would protect borrowers and save them time, money, and frustration.
The White House wants to make it easier for borrowers in public service who are eligible for debt forgiveness after 10 years of loan payments to access loan relief.
More borrowers who are permanently disabled and unable to work receive student loan relief by expanding eligibility criteria to include more types of disability recognized by the Social Security Administration and allowing borrowers to submit a broader range of documents to show proof of their disability is one of the new rules.
The White House was determined to create a more accessible, affordable and accountable student loan system.
The administration is trying to improve the student loan system. The White House said last month it would forgive $6 billion in student loans for 200,000 borrowers who sued the government over claims they were cheated by their colleges. As the Biden administration is under increasing pressure to take a bigger step to address student debt relief, the updated rules come as well. Two weeks ago, Biden told reporters that he was close to making a decision on federal loan forgiveness, and that he might cancel $10,000 for borrowers who make less than $150,000 a year.
The Biden administration is trying to improve student loan forgiveness programs.
The Biden administration wants to change the student loan system.
The Biden administration wants to give student loan forgiveness to students who have been cheated.
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