The Trump administration is formally reconsidering — and may dismantle — two new rules that were a cornerstone of the Obama administration’s crackdown on predatory for-profit colleges. The announcement by the Education Department on Wednesday freezes changes that would speed up and expand a system for erasing the federal loan debt of student borrowers who were cheated by colleges that acted fraudulently. It also throws into limbo what is known as the gainful employment mandate, which cuts off loans to colleges if their graduates do not earn enough money to pay off their student debt. Fraud, especially fraud committed by a school, is simply unacceptable,” Education Secretary Betsy DeVos said in a statement. “Unfortunately, last year’s rule-making effort missed an opportunity to get it right.”

Read full article [here].
by Stacy Cowley and Patricia Cohen, The New York Times.

Posted: June 14th, 2017, by: admin. Categories: . Awaiting Comments.