Posted on 10/22/2025 1:58:00 PM PDT by Twotone
The Trump administration has agreed to cancel student debt under programs it had partially blocked, reopening a path to student loan forgiveness for millions of borrowers.
The outcome is the result of an agreement reached on Friday between the U.S. Department of Education and the American Federation of Teachers, a union.
In the agreement, the Trump administration said it will again process student loan forgiveness for eligible borrowers in two income-driven repayment plans — the original Income-Contingent Repayment plan and the Pay as You Earn plan — as long as those programs remain in effect.
President Donald Trump’s “big beautiful bill” will phase out ICR and PAYE as of July 1, 2028.
“This is a tremendous win for borrowers,” said Winston Berkman-Breen, the legal director for Protect Borrowers, which served as the AFT’s counsel. “The U.S. Department of Education has agreed to follow the law and deliver Congressionally mandated affordable payments and debt relief to hard-working public service workers across the country.”
(Excerpt) Read more at cnbc.com ...
Did NOT vote for this.
I can’t help but think he is mimicking Biden’s pledge that never materialized.
And a tremendous loss for taxpayers. Debt is not being "forgiven". The lenders aren't simply taking a loss. It is being paid by the federal government.
They should get refunds from their useless colleges instead.
DITTO
Are we supposed to believe CNBC now?
HELL NO!!!
But will still be fun watch the democrats oppose this. How many district judges will stop this?
I already paid Salle Mae once.
My wife and I sacrificed things to pay back every penny of interest and principal on my GSLs, and this was back before it was an itemized deduction.
Hell, then change the name to the Guaranteed Student *Grants* program, if taxpayers are subsidising students by paying GSL shareholders for their ‘defaulted loans’.
No No No No.
Nooooooooooooooooooooooooooooooooooooooooo
I had to pay my own way and had to sacrifice to do it. If you’re going to forgive Federal Loans then I want a refund for the tuition, books, and fees I had to fork out for my degree!
There’s a lawsuit involved.
In light of that, the President will get the best deal he can.
Folks, will you cool your jets.
It isn’t fair to criticize the Trump Administration over this. This is not a Trump Administration program. It was the Trump Administration attempting to block a previously authorized program, and losing in the courts.
With YUGE apologies for the source, I suspect this is the problem...
https://protectborrowers.org/litigation/aft-v-u-s-department-of-education/
Bump for the voice of reason.
I DID NOT vote for this sh*t
Keep reading the replies.
Converting compound interest to simple interest would go a LONG way in getting these loans paid off by the borrower.
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