Texas organization argues that the administration’s rule change makes it too easy for students to file a borrower defense claim.
The Supreme Court agreed to review the Fifth Circuit Court of Appeals’ decision to block the policy of President Biden’s administration expanding student loan forgiveness to borrowers who were defrauded by their colleges.
President Biden’s administration had expanded the borrower defense rule to include students who were victims of colleges with predatory loan policies. By doing so, the administration intended to cancel over $17 billion in student loans accrued by these student borrowers.
However, the Career Colleges and Schools of Texas sued the president’s administration for this rule change in 2023, arguing that it made it too easy for students to begin the borrower defense process.
As the Lord Leads, Pray with Us…
- For the justices of the Supreme Court to be discerning as they review the student loan forgiveness case.
- For U.S. officials who administer federal student aid and assess the loan policies of academic institutions.
Sources: Politico, Newsweek
