U.S. Department of Education releases proposal aimed at student loan borrowers
PITTSBURGH (KDKA) — The U.S. Department of Education is out with a proposal filled with sweeping regulations aimed at improving relief programs for student loan borrowers.
The proposed regulations would protect borrowers by saving them time, money and frustration. They would also hold colleges more accountable for any wrongdoing.
Miguel Cardona, U.S. Secretary of Education, said Wednesday, "Student loan benefits also should not be so hard to get that borrowers never actually benefit from them. The Biden-Harris Administration is determined to build a more accessible, affordable, and accountable student loan system. These proposed regulations will protect borrowers and save them time, money, and frustration, and will hold their colleges responsible for wrongdoing."
The administration is looking to do this through several targeted steps. This includes improving protections against misleading recruitment practices, removing interest capitalization, broadening relief options for people with disabilities and making the relief application process easier for all borrowers by eliminating certain factors that can serve as roadblocks for those seeking help.