The Trump administration’s changes to the borrower defense rule will make it harder for student loan borrowers to obtain loan forgiveness when higher education institutions engage in fraudulent behavior. By blocking the regulatory changes proposed by the Education Dept. and Secretary DeVos, this bill would restore the protections of the Obama era borrower defense rule.
The Trump administration’s new regulation would revise the borrower defense rule in a way that gives student borrowers a reasonable chance to file for and obtain loan forgiveness when higher education institutions defraud them or engage in illegal conduct, and also protect taxpayers by ensuring loans are repaid when conditions merit. Congress shouldn’t overturn the new rule.