New Trump administration rule bars student loan relief for public workers tied to ‘illegal’ activity
- Thursday, the Trump administration finalized rules giving the Education Department expanded power to bar employers from the Public Service Loan Forgiveness program, a major reworking of a program that has canceled loans for more than 1 million Americans.
- The Trump administration says the rule is necessary to prevent taxpayer funds from going to lawbreakers, targeting organizations that work with immigrants and transgender youth, with sanctions starting July 1, 2026.
- The education secretary may independently determine an employer should be barred using a 'preponderance of the evidence' standard, and employers can be expelled after a state or federal court ruling or legal settlement admitting guilt.
- Those excluded can seek reentry after 10 years or sooner via a secretary-approved corrective action plan, and employers would be notified and allowed to respond to the department's findings.
- Critics say the rule hands the department broad discretion that could enable political targeting and permits exclusions for 'chemical castration'—defined as hormone therapy or drugs that delay puberty—in 27 states.
87 Articles
87 Articles
New Trump Rule Declares Most Public Service Work ‘Illegal,’ Ineligible For Loan Forgiveness
If you weren’t already super psyched for the Big Beautiful Bill borrowing caps making law school unaffordable for many, get ready to learn that most lawyerly public service is no longer getting loan forgiveness. Because public service itself is going to “illegal.” The Trump administration’s ongoing war on the legal profession continues with the Department of Education releasing its finalized Public Service Loan Forgiveness rule — a process kicke…
Public Service Loan Forgiveness overhaul could reshape eligibility by 2026
The Department of Education plans to roll out new changes to its loan forgiveness program by summer. Public service workers hoping to qualify for student debt relief will need to meet updated eligibility standards set by the Trump administration. Rule takes effect in 2026 The rule, announced Oct. 30 and set to take effect July 1, 2026, gives the department new authority to prevent federal loan relief from going to borrowers working for organizat…
Trump admin restricts student loan forgiveness for public servants ‘aiding and abetting illegal immigration’
After recently restarting student debt cancellation, the Trump administration has announced a rule tweak that will limit eligibility for loan forgiveness for some public servants.
Trump administration revokes student loan forgiveness for those who violate gender, immigration policies
The Trump administration announced sweeping changes Thursday that will exclude employees of organizations that provide support for undocumented immigrants or gender-affirming care for minors from student debt relief, defending the move as excluding “illegal” activities. The change — which the administration has been working on for months — impacts the U.S. Department of Education’s Public Service Loan Forgiveness program. Created in 2007, the pr…
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