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Department of Education announced this week that its Office of Federal Student Aid (FSA) will resume collections on defaulted federal studentloans beginning Monday, May 5, 2025, ending a pause that has been in effect since March 2020. million borrowers owing more than $1.6 The book is scheduled to be released in September 2025.
It’s been an incredibly challenging and chaotic year in studentloan space,” said Persis Yu, deputy executive director and managing counsel at the Student Borrower Protection Center, a nonprofit organization working to eliminate student debt. The debt burden is not distributed equally among students.
If a former student is past due on a Federal studentloan, there is an obvious way to bring the loan account current. Each type of Federal studentloan has a unique set of terms and conditions that determine the way interest is treated. This is due to their status as need-based student aid.
Recommendations include doubling the maximum Pell Grant, reforming the studentloan system to protect borrowers, and ensuring that public benefit programs, like the Supplemental Nutrition Assistance Program (SNAP) or Temporary Assistance for Needy Families (TANF), are reformed to support a student’s journey through higher education. “If
Two federal courts issued sweeping orders blocking key elements of President Biden’s SAVE plan this past Monday, June 24, 2024. SAVE, which stands for Saving on a Valuable Education, is a new income-driven repayment (IDR) plan that the administration has been touting as the most favorable plan ever created.
Federal Student Aid has provided several tools that institutions can utilize until the National StudentLoan Data System (NSLDS) post-screening and identity verification processes are available later this year for 2024-25.
It’s about empowering students to make informed decisions about their money and setting them up for long-term success. For university administrators, understanding this topic is essential for supporting both student success and institutional goals.
Efforts by the Biden administration to pass a rule on studentloan forgiveness was a major story from 2023 that will again be front and center in the new year. Dr. Valerie Kinloch Free speech will be a hot button topic in 2024. Bonner says student mental health will be newsworthy in 2024. Who delivers it?
The Biden administration has announced the most significant updates to its SAVE plan forbearance guidance since a court order stalled the program in August 2024.
have improved slightly over the years, but parity with white Americans has yet to be reached, according to 2024 State of Black America report from the National Urban League (NUL). And Black Americans still face a higher unemployment rate (5.3%) than white counterparts (3.4%) as of January 2024. billion in studentloan forgiveness.
If approved by Idaho State Board of Education, the acquisition would be completed by early 2024. In 2022, the Biden administration announced it would cancel $6 billion in studentloans to those who say certain colleges, including University of Phoenix, defrauded them.
Although the news cycle has been dominated by the Biden administration’sstudentloan forgiveness program and its fate at the U.S. With IDR plans, studentloan recipients’ monthly payments are based on their incomes, instead of being set at a fixed amount.
The report attributes this change primarily to increases in the value of Pell Grant awards under the Biden administration. The intermountain region is always super-low because there is this strong bias against taking on loans,” he said. “A billion left behind represents a strong increase from 2017, when $2.3 This year’s $3.58
Undersecretary of education James Kvaal at the Education Writers Association Higher Education Seminar Much of the discussion focused on the Department of Education’s (ED) reactions to what moderator Adolfo Guzman-Lopez of LAist called the “two punches” of Supreme Court decisions on affirmative action and student debt relief.
Department of Educations efforts to reduce studentloan burdens through the new SAVE repayment plan. As a result, borrowers options to manage their loans have changed repeatedly and often quite suddenly. This has been frustrating and confusing for people trying to manage their loans.
What are Vice President Kamala Harris’s studentloan policies and views on studentloan forgiveness? What could we expect of a Harris administration if she wins the 2024 Presidential election?
Department of Educations efforts to reduce studentloan burdens through the new SAVE repayment plan. In Part 2, we break down exactly what the recent court orders mean for studentloan borrowers. On July 1, 2024, the rest of the regulations were scheduled to go into effect.
Key Takeaways: Federal studentloan borrowers had a break from monthly payments for three years due to the pandemic. But now that studentloan repayment has resumed so has the financial stress. The Biden administration unveiled numerous initiatives to help ease the loan burden for borrowers during this transition.
Biden-Harris Administration Proposes 9% Increase for TRIO in FY24 March 10, 2023 — by Maureen Hoyler This proposal asks Congress to provide a $107 million (or 9%) funding increase for TRIO, for a total proposed appropriation of $1.3 billion in FY24. billion in FY24. million, respectively.
He also says he believes Biden will bring up the studentloan forgiveness program, now before the U.S. Supreme Court, to indicate that his administration will not give up on relief for student borrowers. “It Finding out if that is still a priority of the administration would be interesting.” Dr. Kenneth K.
billion in studentloan debt relief for 60,000 borrowers who work in public service sectors. This brings the Biden Administration’s total approved loan forgiveness to over $175 million for 4.8 PRESS RELEASE | OCTOBER 17, 2024 Contact: Press… More » 60,000 Public Service Workers Receive $4.5
The Biden administration is in various stages of implementing a broad array of studentloan relief for millions of borrowers. These efforts include expanding existing studentloan forgiveness options and new regulations designed to make debt relief programs more accessible.
President Biden Releases FY25 Budget Request to Congress March 11, 2024 — by Kimberly Jones President Biden at last week’s State of the Union address. Due to the budget limits outlined in the Fiscal Responsibility Act (the debt limit deal), the Administration requested minimal increases across the government.
The Public Service Loan Forgiveness (PSLF) program is about to go on a lengthy hiatus. Starting May 1, 2024, the Biden administration will implement a three-month processing pause while the Education Department facilitates an important servicing transition.
Cherry as Keynote for its Annual Conference in New York City August 1, 2024 WASHINGTON, D.C. – Education has played a crucial role in my journey, and I am honored to support an organization that champions access and success for all students.” The Council for Opportunity in Education Announces Academy Award-Winning Filmmaker Matthew A.
In August, President Biden announced the Federal StudentLoan Forgiveness Plan (the Plan), which will cancel 20% of the outstanding Federal studentloan debt of $1.5 In previous posts, we covered eligibility for loan forgiveness, the process for applying for forgiveness, and its impact on taxes.
In an earlier post , we shared information about the new student debt relief plan that President Biden announced on April 8, 2024. Anyone may submit comments on the proposed student debt relief plans by May 17, 2024. The Department of Education later published proposed regulations for most of the new plan.
Smith announced during the 2019 commencement ceremony for Morehouse that he would pay off the studentloans for the graduating class. Morehouse also drew media attention – not all of it positive – when President Joe Biden delivered the commencement address in 2024. He holds a Ph.D.
The Council for Opportunity in Education Announces New Partnership with the Institute of International Education Center for Access and Equity February 26, 2024 — by Terrance L. When organizations like the Council for Opportunity in Education join us, it affirms that IIE is going in the right direction.”
This week there have been two big student debt relief announcements from the Biden Administration. Today, President Biden announced that 277,000 more people are having their federal studentloan debt canceled. Please consider sharing your story with NCLC to help us make the studentloan system better for borrowers.
The First-Generation College Celebration is celebrated each year on November 8 as it marks the anniversary of signing of the 1965 Higher Education Act , which has helped millions of first-generation students persist to degree completion.
Supreme Court dashed the hopes of 40 million student borrowers Friday, striking down President Joe Biden’s studentloan forgiveness program. The tone of the opinion and the reasoning suggest that the conservative supermajority would oppose an administration effort to do the same thing relying on a different law,” he said. “I
Department of Education (ED) announced additional steps to facilitate submitting the 2024–25 FAFSA form. Last week, ED announced $50 million in funding for personnel and resources, including technical assistance and support, deployed to support institutions, students and their families with Better FAFSA®. On Monday, the U.S.
The Biden-Harris Administration has announced a new framework to better hold studentloan servicers accountable and protect borrowers from servicer errors. FSA COO Richard Cordray “The Biden-Harris Administration has made clear that we will not allow borrowers to pay the price for unacceptable servicing failures,” said U.S.
Impact of a Government Shutdown on TRIO Programs December 20, 2024 by Kimberly Jones Please know that our COE team is always here to assist you. Forward Funded : TRIO and GEAR UP funds for Program Year 2024-25 were included in the final FY2024 legislation passed by Congress in March 2024. Hamm Click to view the page: U.S.
Today, the Biden-Harris Administration announced that some borrowers will soon begin receiving debt cancellation after as few as 10 years in repayment, instead of the 20 to 25 years of payments previously required for most borrowers. Applying online should take about 10 minutes or less.
Mike Pierce Two-hundred and twenty-seven advocacy, labor, and civil rights groups have signed onto a letter urging the Biden-Harris Administration to provide studentloan debt relief. Nebraska that similarly blocked the administration’s efforts to provide student debt relief. “It The letter — asking the U.S.
Supreme Court struck down President Joe Biden’s studentloan forgiveness program last month, he vowed that his administration would not give up the fight, swiftly announcing plans to offer debt relief under an alternative authority , the Higher Education Act of 1965. After the U.S. Maxwell Frost, D-Fla.,
Election 2024 continues to surprise. Greer said that Harris will likely continue Biden’s radical attempts to relegate, reform, and abolish studentloan debt, something that has actively changed the lives of millions of student borrowers. After President Joseph R.
Today, the Biden-Harris Administration announced that nearly 153,000 borrowers enrolled in the Saving on a Valuable Education (SAVE) Plan are getting their loans canceled thanks to early implementation of the shortened time to forgiveness component of the new repayment plan. When can I qualify for loan cancellation under the SAVE Plan?
Unfortunately, neither body will complete its work before October 1 , which marks the beginning of the new Fiscal Year, FY 2024. In other words, Program Year 2023-2024 is funded by the FY2023 bill passed last year. If not, the federal government will ‘shut down’ all non-essential services.
GET FREE ADVOCACY TOOLS As current government spending expires on Saturday, November 18 , Speaker Johnson hopes to pass another continuing resolution through early 2024. COE is challenging the TRIO community to engage with their Representatives and Senators as soon as possible.
Congress Averts Shutdown, Levels Funding for TRIO and GEAR UP Programs in FY24 March 23, 2024 — by Owen Toomey Because the Fiscal Responsibility Act, also known as the debt limit deal, capped federal spending at FY23 levels, the Federal TRIO Programs received level funding at $1.191 billion. Secretary of Education Dr. Miguel A.
Early Fall : The new FAFSA estimator will allow students to determine their eligibility for federal student aid and understand their options for paying for college. The FAFSA estimator will provide a more thorough and accurate estimate of a student’s federal student aid than the Pell look-up tables.
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