Congress made a number of changes to the federal student aid programs at the end of 2011. This legislation passed without much substantive debate because it was part of the budget process. President Obama signed the legislaton on December 23, 2011 (Public Law 112-74). The Department
We wrote in December about operational breakdowns at the Department of Education, focusing on the Department’s failure to properly place borrowers in “forced consolidation” into IBR. Shockingly, the Department has yet to fix this problem. Department staff now tell us it will be reso
It seems that we were just looking back at 2010….and yet another year has passed. As we get ready for a holiday vacation at Student Loan Borrower Assistance Project, we offer a few thoughts on 2011: It was a year of ups and down in the fight against abuses in the for-profit hig
A December 2011 article in the Chronicle of Higher Education reveals numerous problems with the Department of Education’s online system for managing student loans. Unfortunately, this is not news to our clients and other borrowers. We have been pointing out operational breakdowns for
President Obama announced a plan this week to help alleviate student loan burdens. The President’s plan shows that the Administration is hearing the voices of struggling student loan borrowers. It is a good step in providing some relief, but much more needs to be done. There are a
State tuition recovery funds (STRFs) can be a valuable source of relief for defrauded students when a school is insolvent and when the student cannot obtain a federal discharge. STRFs contain deposits of money collected from schools approved to operate in the state. The funds are dis
We wrote previously about the dangers of promoting financial literacy efforts INSTEAD of regulating abusive credit products and INSTEAD of providing relief for financially distressed student loan borrowers. We noted the shocking lack of evidence that financial literacy is effective.
NCLC’s Student Loan Borrower Assistance Project posted a new self-help packet this week. The unemployment deferment packet helps borrowers figure out whether they are eligible for this deferment and if so, how to apply. Only federal student loan borrowers with loans that are
We highly recommend Pro Publica’s latest article on student loan disability discharges. In this article, Sasha Chavkin asked the Department of Education to clarify its position on the most critical disability discharge issue—Will the Department consider Social Security disability det
Deanne Loonin, Director of NCLC’s Student Loan Borrower Assistance Project, spoke on a panel this week at the annual conference of the National Association of Student Financial Aid Administrators. Here are her more extended views on the session, “Student Borrowing: Reasonable Debt L
Please understand that we do not provide legal advice about individual cases. We request that users first review the information on this site and call or e-mail only with general questions not answered here. This web site includes links to other resources for those who seek individualized legal advice or other help not offered here. This site is for people who already have student loans and want to know more about their options and rights.