Betsy Devos is the head of the Department of Education. She recently announced that she would be cancelling 150 million in student loan debt. She stated that some people can expect to get all or part of their debt cancelled. They will get their debt discharged within 30 to 90 days.
There are several criteria that have to be met in order to qualify for student loan forgiveness. People must have attended a college that closed between November 1, 2013 and December 4, 2015. They must also meet the following criteria.
- Was a student at the school when it closed
- Must not have withdrawn from the school more than 120 days before it closed
- Did not attend a Title IV school within three years of the school closing
People who meet the criteria can apply with the Department of Education. The Department of Education will confirm that the school has closed.
In October 2018, the Education Department implemented the Borrower to Defense Repaying. This program will allow people to get their student loan debt forgiven if they attended a school that used deceptive practices to get them to apply for student loans. Betsy Devos wants to make sure that people are protected from deceptive practices.
Betsy is also in the process of helping create a new student loan forgiveness program. The Department of Education says that they will be able to save the federal government $12.7 billion during a 10-year period.
If you are not able to get your student loans discharged or forgiven, then there are several other things that you can do. You can refinance your loans, which will allow you to get a lower interest rate. You can also make extra student loan payments. Additionally, you can consolidate your student loans.