Betsy DeVos cancels $150 million of student loan debt after losing court battle

The Department of Education said it will cancel $150 million of student loan debt, impacting about 15,000 people whose schools closed.

The Obama-era borrower defense relief program – which essentially ground to a halt under Education Secretary Betsy Devos – provided a path for people to seek forgiveness for federal student loans if a shuttered school violated specific laws or misled students.

DeVos was highly critical of the program, reportedly calling it a “free money” giveaway, and sought to change and delay the program. However, she was sued, and a federal judge ruled in September the program needed to “go into effect.”

Those eligible for loan forgiveness must have been enrolled at the school when it closed and not enrolled at another Title-IV school within three years of the previous school’s closing, according to the Education Department.

PLUS loans – which parents took out on behalf of children – could also be eligible for discharge.

https://www.foxnews.com/politics/betsy-devos-cancels-150-million-of-student-loan-debt-after-losing-court-battle

COLLEGE DEGREE SCAM REVISITED

Student loan debt outpaced credit card debt for the first time last year and is likely to top a trillion dollars this year.

The amount of debt is so high that people will be paying their own student loans off when it's time for their kids to go to college according to Mark Kantrowitz, the publisher of FinAid.org and Fastweb.com, who has compiled the estimates of student debt, including federal and private loans.

Debt Slavery - America is making indentured servants out of students

Things like buying a home, starting a family, starting a business, saving for their own kids’ education may not be options for people who are paying off a lot of student debt.

According to "Decline of the Empire" Student Loans - Gateway to Debt Slavery
1.To get a job, any job, your chances improve significantly with a college degree
2.The cost of a college degree has risen 439% in the last 28 years
3.Obtaining a degree is far beyond the means of most young people
4.To get a degree, and thus have any hope of getting a job, the large majority of young people must become debt slaves

The easy access to Federal loans is good for the Ivory Tower, but not so good for the American public.

Here is an absurd quote from the self-interested "brain trust".
"College [where tuition has risen 439% in 28 years] is still a really good deal." Cecilia Rouse, Princeton.

Comment: no!! College is NOT a really good deal. When college tuition was $2,500 not $25,000 a year. That was a good deal.

Comment: no wonder peer review has become the research tool of choice. If the brain trusts at the Universities had to ask the opinion of people living in the real world, no one would agree with their idiocy.


While a boatload of student debt is certainly a good deal for Princeton, or the University of Michigan, which get to use Federal loans to allow students to pay their tuition money up front and raise tuition prices to levels higher than their actual market value, through one outrageous tuition hike after another, it's a lousy deal for taxpayers and students.

The school bill along with the retirement debt this country has racked up - young people are going to be indentured to the government, not the other way around.

Student Loan Crisis by the Numbers

• Over $100 billion in federal education loans are originated every year.



• In 2009 $11.5 billion of loan principal was in default.



• $23.6 billion in defaulted loans in the FFEL program



• $23.8 billion in defaulted loans in Direct Loan program

TOTAL OVERALL DEFAULT $47.4 billion

• The estimated total private student loan debt outstanding as of June 30, 2009 was about $157.8 billion.



• Public sector workers are NOT required to pay back their loans after 10 years of service.



• Of college graduates age 25 and under, 22.4% are not working at all, 22% are working in jobs that require NO college degree.

• Over the last 20 years, universities and colleges have doubled their full-time support staff. At the same time enrollment only increased 40%. Full-time instructors increased about 50% and managers increased about 50%.



• Public universities and colleges have increased their tuition by as much as 30% for the 2010-2011 year.
  



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