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Trump And GOP Target Student Loan Forgiveness, Plunging Programs Into Uncertainty

  • Trump's administration has initiated significant layoffs at the U.S. Department of Education, impacting hundreds of federal workers and altering student loan programs, which could leave millions uncertain about their loans.
  • Since early 2020, student loan repayment pauses have provided relief, yet many may default soon, with internal data suggesting that 9 million borrowers are affected.
  • The U.S. Supreme Court rejected President Joe Biden's student loan forgiveness plan in June 2023, raising concerns that 9 million borrowers may default on their loans.
  • Persis Yu stated that the student loan system has been chaotic for a long time, with many borrowers feeling pessimistic about the future of income-driven repayment plans.
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Forbes broke the news in United States on Friday, April 4, 2025.
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