Education Department Pays Partial Student Loans in Majority of Cases

961
SHARE

Clare McCann, an expert on higher education working for New America, a think tank in Washington, said of the Trump administration, “It’s very self-evident in the policies that they are proposing and implementing that they are there to look out

Enter Email to View Articles

Loading...
for the for-profit colleges.”

Kimberly Fe, a 53-year-old who completed a program through Corinthian College in California, claims that the training the school gave her was inadequate. She also says the school lied about her credits being able to transfer to four-year programs at other schools. The Education Department paid $2,000 of Fe’s $7,000 loan.

“It was just a money-making machine,” Fe said of the school. “I want my money back. I want my time back.”

DeVos’ Response

DeVos said that it was unfair for taxpayers to pay victimized students’ loans completely. She also said that the new policy allows the department to give partial loan payments to students whom it might otherwise have denied.

In December, she said, “No fraud is acceptable, and students deserve relief if the school they attended acted dishonestly.” She added that the policy “will allow claims to be adjudicated quickly” and that it “also protects taxpayers from being forced to shoulder massive costs that may be unjustified.”