In a social media post, Sen #PattyMurray, D-WA, called the potential changes "a clear violation of #education & #appropriations #law."
The Education Dept has a dedicated Office of #SpecialEducation & Rehabilitative Services, &, as w/the federal #StudentLoan portfolio, it's unclear how these collective responsibilities on behalf of #children w/ #disabilities could be moved legally w/o a vote of #Congress.
Multiple sources at #FSA who could not speak publicly for fear of #retribution said they were blindsided by the news.
Logistical challenges aside, the role of the office of Federal #Student #Aid as the administrator of the #StudentLoan portfolio is protected by #law. It's not clear how these responsibilities could be #legally moved w/o a vote of #Congress. [not that #Trump cares]
#Trump said he would move #StudentLoans "out of the Dept of #Education immediately" & that #KellyLoeffler & her staff are "all set for it. They're waiting for it. It'll be serviced much better than it has in the past. It's been a mess."
~8M federal #StudentLoan borrowers are in #legal limbo, not making loan payments, as #Biden-era repayment plans were frozen by a judge for being *potentially* illegal. Borrowers also can't currently enroll in the govt's income-driven repayment plans….
The federal #StudentLoan portfolio — which includes about $1.6T in loans for ~43M borrowers — is currently overseen by the #Education Dept's office of Federal #Student #Aid (#FSA). That office has been gutted by the recent raft of buyouts, early retirements & last week's broad reduction-in-force [#RIF].
It was not clear, based on #Trump's announcement, how or if the remaining employees & expertise at FSA would be transferred to the SBA.
Student loans, #SpecialEducation to move out of #Education Dept
#Trump continued his push to unwind the US Dept of Education, announcing that the management of the entire federal #StudentLoan portfolio & of the dept's "special needs" programs would be moved to other #FederalAgencies immediately.
#USpol #corruption #law #regulation #PublicIntegrity #kleptocracy
https://www.npr.org/2025/03/21/nx-s1-5336330/trump-education-department-student-loans-special-education-fsa
#Teachers sue #Trump admin for stopping affordable #StudentLoan repayment plans
The American Federation of Teachers represents 1.8 million educators.
By Leah Sarnoff, March 19, 2025
"One of America's largest unions is taking aim at President Donald Trump's administration for shutting down access to affordable student loan repayment plans -- saying the decision is 'effectively breaking' the system.
"The American Federation of Teachers (#AFT), representing 1.8 million educators across the country, filed a lawsuit against the #DepartmentOfEducation in Washington, D.C., hoping to restore the programs that have now been shuttered for three weeks.
"The filing alleges the administration halting the application process for all Income-Driven Repayment (#IDR) plans and ordering student loan servicers to stop all processing violates #FederalLaw.
"AFT sued the United States Department of Education (ED) for effectively breaking the student loan system, denying borrowers' access to affordable loan payments and blocking progress towards Public Service Loan Forgiveness (#PSLF), in violation of federal law,' the union said in a statement Wednesday."
https://abcnews.go.com/Politics/teachers-sue-trump-admin-stopping-affordable-student-loan/story?id=119965907
#CharacteristicsOfFascism #BadDOGE #ResistDOGE #Authoritarianism #USPol
It may be futile af but I did it anyway
I called my senators' DC offices & left msgs BEGGING them NOT to support the #ContinuingResolution
I'm a #Senior citizen who's paying down a #StudentLoan out of my #SocialSecurity
I know a #GovernmentShutdown will hurt a lot of people, including me. But this #Fascist junta cannot continue to illegally dismantle agencies & programs we've fought for decades to build.
Please make the call, even if it feels futile
The #Education Dept administers federal #grant programs, including the $18.4B #TitleI program that provides supplemental funding to high-#poverty K-12 #schools, as well as the $15.5B program that helps cover the cost of education for #students with #disabilities. The dept also oversees the $1.6T federal #StudentLoan program & sets rules for what #colleges must do to participate.
“Since its founding, the #CFPB has returned over $21B directly to #consumers. It’s helped #ServiceMembers who have been ripped off by unscrupulous lenders. It’s helped borrowers whose #StudentLoan servicers treated them unfairly; it’s helped families that have been scammed; & it’s helped thousands of Americans that have been charged extortionate fees by big #banks & other financial services providers,” Sen #ElizabethWarren said during a hearing this week.
Hall said Krause, Ramada & Hogan need unrestrained access to personal #information such as #SocialSecurity numbers & #BankAccount information to evaluate systems of records & programs in their aim to “better modernize.”
She also said Ramada’s team is responsible for assessing the #StudentLoan system & may need access to borrowers’ incomes to understand their ability to repay their #loans.
Ramada said he is employed by #DOGE & detailed to the #Education Dept, where he’s tasked with helping the agency “auditing contract, grant, & related programs for waste, fraud, & abuse,” including the federal #StudentLoan portfolio.
#ElizabethWarren: #codered: it's all about the money: #Trump campaigned to help working people but is doing the EXACT OPPOSITE in office
#drillbabydrill #scam baby #scam
#elonmusk and #project2025 author #RussellVought TRY TO DELETE #CFPB (Consumer Financial Protection Bureau)
https://en.wikipedia.org/wiki/Consumer_Financial_Protection_Bureau
a #agency protecting #citizens from #finance #fraud the #financemafia that has lost it's #moralcompass centuries ago, or never had one to begin with
#banksters will trick you in every possible way to extract the last Dime out of you, the probably not so rich
if this goes through it will make things worse for ordinary people #usa you are #doomed
From Lawrence W. Britt: 14 Characteristics of #Fascism (2003)
11. Disdain for #Intellectuals and the #Arts
"Fascist nations tend to promote and tolerate open hostility to #HigherEducation and #academia. It is not uncommon for professors and other #academics to be censored or even arrested. #FreeExpression in the arts is openly attacked, and governments often refuse to fund the arts."
House Republicans mull taxes on #scholarships and changes to #StudentLoan programs
February 8, 2025
https://apnews.com/article/trump-administration-education-college-loans-532d52c2ccac8b4be459f7797fb63a73
#USPol #Fascism #CharacteristicsOfFascism #SignsOfFascism #ResistFascism #Education
If this doesn't get folks out onto the streets, I don't know what will! #StudentLoans are a HUGE burden that hangs over a lot of peoples' heads -- and #IncomeDrivenRepayment programs are the only thing keeping them from not being able to make ends meet and / or having their #credit ruined! And taxes on scholarships? Seems the #FascistGrooveThing wants to #SilenceDissent by providing barriers against an #EducatedVoter!
House Republicans mull taxes on scholarships and changes to student loan programs
By CHEYANNE MUMPHREY
Updated 11:51 PM EST, February 8, 2025
"As Republicans in Congress look for ways to slash spending, some legislators are floating new taxes on college #scholarships, an end to #StudentLoan #repayment plans and a big hike in taxes on university endowments.
"The ideas affecting #HigherEducation are among many in circulation among House committees that are exploring ways to cover the cost of extending and expanding tax cuts passed in President Donald Trump’s first term.
"The recommendations are still evolving, and it’s unclear how close any of them will get to being implemented. Regardless, advocates across higher education say they are alarmed to see such proposals gain traction at all with Republicans.
"'It’s shocking to me because this amount of cuts is not happening in reaction to like a budget crisis, like a #recession. This really feels different in the sense that it is not something that there is an external push or a need for. So, it feels more #ideological in a way,' said Jessica Thompson, a higher education policy expert with The Institute for College Access and Success.
"Here is a look at possible federal budget cuts that would affect higher education under the Trump administration:
"Cutting programs that help students pay off college debt
"The U.S. House Committee on Education and the Workforce has suggested several possible ways to overhaul student loan programs. Some would reduce student access to federal aid for college.
"On the chopping block potentially are several plans students can opt into to repay their students loans, including the #SAVEPlan introduced by the Biden administration. That plan doesn’t require borrowers to make payments if they earn less than 225% of the federal poverty line — $32,800 a year for a single person — and prevents interest from adding to balances as long as borrowers make their monthly payments. The SAVE plan was already put on hold after Republicans challenged it. Some plans do not appear to be targeted, including one that caps loan payments based on borrowers’ income level.
[...]
"An end to tax-free status for scholarships
"Scholarships and fellowships have been exempt from taxes as long as they are used for tuition and related expenses. That would change under another proposal that’s up for consideration.
"The changes could create new financial burdens for students and families, advocates say.
"'There’s been great progress in bringing down the costs of higher education. Adjusted for inflation, public university tuition is less now than it was ten years ago,' said Craig Lindwarm, senior vice president of governmental affairs with the Association of Public and Land-Grant Universities. 'But as we look at some of the proposals that are options, many would increase costs on students and families, and I think (the proposals) are heading in the direction that most don’t want to see, which is increasing expenses on students and families.'
Read more:
https://apnews.com/article/trump-administration-education-college-loans-532d52c2ccac8b4be459f7797fb63a73
#USPol #Fascism #CharacteristicsOfFascism #SignsOfFascisn #ResistFascism #Education
#StudentLoan borrowers should do this before presidential administration changes
Two repayment options will be open for enrollment until July 2027, full article from CNBC
#Trump names #LindaMcMahon as his pick for Education secretary
By Kristen Holmes, Kaitlan Collins and John Towfighi, CNN
Tue November 19, 2024
"Trump’s education secretary could potentially be tasked with overseeing the [#DepartmentOfEducation]'s demise after the president-elect repeatedly called for abolishing the agency on the campaign trail.
"It would be difficult to get rid of the entire department, which delivers federal funding to nearly every public #K12 school in the country and manages the $1.6 trillion federal #StudentLoan portfolio. And shutting it down would require an act of Congress.
"It may be more likely that some programs are moved to other federal agencies. The overarching goal for many Republicans is to reduce the federal government’s role in local education, which could be achieved by retaining funding programs but delivering money to states and schools with fewer strings attached.
"Under the new education secretary, the department may use the formal regulatory process to undo changes the Biden administration made to #TitleIX that sought to expand protections for #LGBTQ+ students. A new rule could potentially say that Title IX prevents #trans students from playing on girls’ sports teams, something Trump campaigned on."
Read more:
https://www.cnn.com/2024/11/19/politics/linda-mcmahon-education-secretary-trump/index.html
#Biden administration can move forward with #studentloan forgiveness, federal judge rules
The decision delivers a small victory in the #Biden admin’s ongoing fight to alleviate federal #StudentLoan #debt, & a much-needed win after a series of #legal challenges have stymied those efforts. #StudentDebtRelief has become highly politicized & divisive as #conservatives seek to dismantle plans they *say* unfairly burden taxpayers & are a naked attempt at swaying voters [or they’re just bitter.]
#law #USpol #StudentLoanForgiveness #StudentLoans #students #education #VoteBlue #HarrisWalz2024
