"Questions remain as to how many borrowers in Virginia no longer qualify for federal student loan forgiveness under new eligibility requirements for President Biden’s debt cancellation program," Virginia Mercury reports.
..."The U.S. Department of Education changed its eligibility policy to exclude borrowers with commercial federal loans the same day the lawsuit was filed.
'We understand that the department is reviewing its legal options with regard to the eligibility of FFEL loans that are privately held,' said Karen McCarthy, a vice president with the National Association of Student Financial Aid Administrators, in an email. 'However, this change adds a layer of complexity to an already nuanced initiative and creates more confusion for borrowers. While we can’t speculate on ED’s legal authority, we look forward to the final answer so borrowers can have clarity as soon as possible.'"
NASFAA's "Notable Headlines" section highlights media coverage of financial aid to help members stay up to date with the latest news. Articles included under the notable headlines section are not written by NASFAA, but rather by external sources. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.
Publication Date: 10/14/2022