Bonamici Condemns Attempt by Department of Education to Limit Consumer Protections for Student Loan Borrowers

WASHINGTON, DC [10/31/17] – Congresswoman Suzanne Bonamici (D-OR), Vice Ranking Member of the House Education and the Workforce Committee, spoke out on behalf of students about reports that the Department of Education may require students who were cheated by for-profit colleges to pay back student loans.

According to the Associated Press, the Department of Education is considering providing partial relief to students who have been defrauded or misled by predatory, for-profit colleges. Under the borrower defense rule, students who have been misled or deceived are entitled to full loan forgiveness. In June, the Department of Education delayed implementation of the rule, which was set to go into effect July 1, 2017. The Department of Education’s proposal announced last week would delay the borrower defense rule another two years until July 1, 2019.

“Secretary DeVos continues tricking our students and giving treats to the for-profit institutions that took advantage of hard-working Americans trying to get ahead. Tens of thousands of students in the country, including hundreds of Oregonians, were deceived by for-profit colleges like Corinthian Colleges and ITT Tech. Many of the students were from low-income families, underrepresented minorities, single parents, and veterans.

“First Trump’s Department of Education delayed borrower defense protections for student loan borrowers saddled with debt and worthless degrees. Now reports indicate that the Department is considering only partial relief for defrauded students. Forcing students to pay for a useless degree is putting the profits of for-profit colleges over the interests of students. Secretary DeVos should understand that the fair and just result for these defrauded students is to fully cancel their debt.”

Congresswoman Bonamici is an outspoken advocate for student loan borrowers and has led efforts to protect students and taxpayers from predatory for-profit colleges. She has supported the gainful employment and borrower defense rules, which are aimed at reining in predatory for-profit colleges.


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