19 States Pile On to Call B.S. on Proposed Dept of Ed Changes to Borrower Defense

By on March 7, 2018

North Carolina Attorney General Josh Stein recently Secretary Betsy DeVos, criticizing the Department of Education’s (the Department) proposed redraft on borrower defense and financial responsibility regulations. Borrower defense is the process by which students who have been defrauded by their schools can have their federal student loans discharged.

“Secretary DeVos needs to focus on protecting students, not for-profit colleges,” said Attorney General Josh Stein. “Students who borrow money for school are investing in their futures – futures that will make our communities stronger. That is why we need rules that will protect both those students and taxpayers. Secretary DeVos’s proposed rules fail in both regards.”

The letter, which Attorney General Stein signed along with 19 other Attorneys General, highlights some of the most glaring issues. The Department:

  • proposes a “federal standard” applicable to borrower-defense claims that is wholly inadequate and would serve only to limit defrauded students’ access to critical loan relief;
  • proposes a borrower-defense process that excludes any role for state attorneys general;
  • proposes imposing a three-year statute of limitations on borrower-defense claims. The imposition of any statute of limitations on these claims is patently unfair;
  • proposes preserving mandatory arbitration, which denies students their day in court and prevents information about the few disputes that are brought from ever coming to light; and
  • fails to propose a streamlined process to discharge groups of similar borrower-defense claims.

The Department’s recent rulemaking comes on the heels of its decision last year to throw out its borrower-defense regulations promulgated in November 2016. These regulations went a tremendous distance to achieving the Department’s then-stated goal of giving defrauded borrowers access to a consistent, clear, fair, and transparent process to seek debt relief. The Department, however, has unlawfully delayed implementation of these rules and decided to draft new rules from scratch. On July 6, 2017, a coalition of Attorneys General sued the Department over this unlawful delay.

In signing today’s letter, Attorney General Josh Stein joins the Attorneys General of the following states: California, Connecticut, Delaware, District of Columbia, Hawaii, Illinois, Iowa, Maine, Maryland, Massachusetts, Minnesota, New Mexico, New York, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, and Washington.

READ  The Borrower Defense Pothole That Will Swallow Many Trying to Forgive Student Loans

Last step, fill out the information below or call us for Priority Assistance.

What problems are you having with your report?

Your first name is required. Your first name is required to be at least 2 characters. Your first name cannot be longer than 50 characters.
Your last name is required. Your last name is required to be at least 2 characters. Your last name cannot be longer than 50 characters.
Your email is required.
Your phone is required. Your 10 digit phone number is required.
Your state is required.
Your age is required. Your age must be greater than 18. Your age must be less than 100.

By clicking on the "Contact Me" button above, you consent, acknowledge, and agree to the following: Our Terms of Use and Privacy Policy and to receive electronic communications. We take your privacy seriously. That you are providing express "written" consent for Debt.com or appropriate service provider(s) to call you (including through automated means; e.g. autodialing, text and pre-recorded messaging) via telephone, mobile device (including SMS and MMS - charges may apply), even if your telephone number is currently listed on any internal, corporate, state or federal Do-Not-Call list. Consent is not required as a condition to utilize Debt.com services and you are under no obligation to purchase anything.

By clicking on the “Contact me” button above, you consent, acknowledge, and agree to the following: (1)That you are providing express “written” consent for Lexington Law Firm, Debt.com or appropriate service provider(s) to call you (including through automated means; e.g. autodialing, text and pre-recorded messaging) via telephone, mobile device (including SMS and MMS – charges may apply), or dialed manually, at my residential or cellular number, even if your telephone number is currently listed on any internal, corporate, state or federal Do-Not-Call list; and (2)Lexington Law’s and and Debt.com’s Terms of Use and Privacy Policy. Consent is not required as a condition to utilize Lexington Law or Debt.com services and you are under no obligation to purchase anything.

About Steve Rhode

Steve Rhode is the Euro-Video and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

Share a Comment / Leave a Reply

Узнать как постель для малышей купить в любом городе.
Этот интересный веб сайт про направление пододеяльники киев www.shopvashtextil.com.ua
gay torrent
%d bloggers like this: