Education Department cancels $150 million in student loans

Education Secretary Betsy DeVos had sought to delay the regulation, but a federal judge ruled in September that her efforts were unlawful. In October, the judge denied an industry group’s request to postpone the rule as well, and ordered that the regulation go into effect immediately.

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“This appears to be a positive development, but we will continue pressing the Department to ensure that every single eligible borrower receives the full and complete relief they deserve,” said Aaron Ament, the Network’s president.

Eligible borrowers will receive an email Friday with the good news, according to the Education Department.

These borrowers will no longer have to make payments on their loans and could potentially be eligible for refunds.

They should also be able to delete any negative information on their credit reports that resulted from their student debt.

Although students generally need to wait three years after their college closed to receive an automatic discharge of their education debt, they can apply for the relief at any point.

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