Las Vegas Review-Journal (Sunday)

DeVos may only partly forgive some student loans

- By Maria Danilova

WASHINGTON — The Education Department is considerin­g only partially forgiving federal loans for students defrauded by for-profit colleges, according to department officials, abandoning the Obama administra­tion’s policy of erasing that debt.

Under President Barack Obama, tens of thousands of students deceived by now-defunct for-profit schools had more than $550 million in such loans canceled.

But President Donald Trump’s education secretary, Betsy DeVos, is working on a plan that could grant such students just partial relief, according to department officials. The department might look at the average earnings of students in similar programs and schools to determine how much debt to wipe away.

The officials were not authorized to publicly comment on the issue and spoke on condition of anonymity.

It was not clear how many students might be affected, and a department spokeswoma­n did not respond to a request for comment Saturday.

But the Trump team has given hints of a new approach.

In August, the department extended its contract with a staffing agency to speed up the processing of a backlog of loan forgivenes­s claims. In the procuremen­t notice, the department said that “policy changes may necessitat­e certain claims already processed be revisited to assess other attributes.”

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