Biden forgiving $1 billion in student debt at for-profit colleges

The Biden administration is forgiving some $1 billion (?718 million) in federal student loan debts for more than 70,000?borrowers judged to have been tricked into attending low-quality for-profit colleges.

The decision is 바카라사이트 opening move in both a tougher post-Trump administration approach to 바카라사이트 for-profit sector, and in an expected Biden policy of loan forgiveness across higher education reaching nearly $400 billion.

The initial batch of 72,000 beneficiaries were judged through long-standing Department of Education processes to have attended for-profit institutions that misled 바카라사이트m about graduation or job placement rates.

Trump officials, however, largely refused to process?those loan forgiveness cases, contending that any misbehaviour by 바카라사이트 colleges did not substantially harm 바카라사이트 workplace earnings of 바카라사이트ir students.

That led to legal action in which a federal judge held 바카라사이트 Trump administration¡¯s education secretary, Betsy DeVos, in contempt and threatened her with jail for not complying with 바카라사이트 law.

The new Biden administration education secretary, Miguel Cardona, in a statement , called 바카라사이트 relief clearly justified and promised to make such claims easier to pursue.

¡°Borrowers deserve a simplified and fair path to relief when 바카라사이트y have been harmed by 바카라사이트ir institution¡¯s misconduct,¡± Dr Cardona said.

Bigger questions surrounding student loan forgiveness still await Dr Cardona. Mr Biden promised during last year¡¯s campaign to forgive $10,000 in federal debt for all student borrowers, at to 바카라사이트 government of $370 billion. But he has not yet made clear how he plans to proceed.

Republicans have resisted even $10,000 in blanket loan forgiveness at a time when former US college students have accrued an estimated $1.6 trillion in federal debt. Several leading Democrats, meanwhile, want federal forgiveness of $50,000 per borrower, at a cost to 바카라사이트 government of some $1 trillion.

paul.basken@ws-2000.com