AFT Sues Department of Education Over Student Loan Relief Program
What happened
The American Federation of Teachers filed a lawsuit against the Department of Education in the US District Court for the District of Columbia. The suit, Weingarten v. McMahon, names Education Secretary Linda McMahon as a defendant. The plaintiffs allege that the Department of Education mismanaged the Public Service Loan Forgiveness program by miscounting payment timelines and failing to award credit for time served.
From ibtimes.co.uk
Why it matters
The lawsuit challenges the administration of the Public Service Loan Forgiveness program, which allows certain public servants to have federal student loans cancelled after 120 payments. The claims specifically relate to the PSLF Buyback program and recent drops in qualifying payment counts.
Jennifer Zhang analyzed federal law changes regarding loan forgiveness while the American Federation of Teachers pushed for expanded repayment programs.
From ibtimes.co.uk
Who's involved
- American Federation of TeachersFiled the lawsuit alleging the Department of Education unlawfully blocked loan relief.
- Linda McMahonNamed defendant in the lawsuit challenging the management of the PSLF program.
- departmentThe department accused of mismanaging the Public Service Loan Forgiveness program.
- Department of EducationThe government agency being sued over the management of the PSLF program.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Department of EducationSpeculative
The Department of Education could face legal challenges regarding its administrative actions on the PSLF program, potentially affecting the availability of loan forgiveness for borrowers.
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The entities involved
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department
office within an organization
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American Federation of Teachers
American labor union for teachers