EDUCATION/TRUMP AS PRESIDENT: “The Trump administration said Wednesday [12-20-17] it has resumed forgiving federal loans owed by former students of the defunct for-profit chain Corinthian Colleges Inc., ending a nearly yearlong delay.
But in a policy shift, the Education Department said some former students would have only a portion of their debts expunged, instead of the entire balance. The agency said the move was designed to ensure fairness and limit taxpayer losses.
Student advocates criticized the move, which they said would likely leave many victims of fraud, including minimum-wage workers, with thousands of dollars in student debt. Attorneys general of New York and California, which joined other states in suing the Education Department last week over its policy, also raised concerns…
The department didn’t say on Wednesday how much the government has forgiven in Corinthian-related debt. But an October 2016 department report said the department had approved about 15,700 claims by former Corinthian students to have $247 million in student debt forgiven.
The agency released a formula for how much individual borrowers could have forgiven, based largely on earnings in particular fields. Under new rules, students with the lowest earnings will get up to their entire balances forgiven, while borrowers with higher earnings will receive partial loan forgiveness.”
-Josh Mitchell, “Trump Administration Resumes Forgiving Loans of Ex-Corinthian Students,” The Wall Street Journal online, Dec. 20, 2017 04:40pm