• News
  • Celebrities
  • Finance
  • Crypto
  • Travel
  • Entertainment
  • Health
  • Others

Education Department fails to discharge disabled student loan borrowers

People with recently-acquired disabilities have been swimming through an endless sea of red tape to get the U.S. Department of Education to forgive their student loans. And in a joint investigation, ProPublica and the Center for Public Integrity uncovered evidence that the department has been repeatedly rejecting applications for those who qualify under federal law to have their loans forgiven, even after the requests have been approved by individual lenders and the Social Security Administration. The investigation found that between 2007 and 2009, the department received 174,718 discharge applications; 45,000 were rejected or remained unsolved.

Federal law dictates that the education department forgive borrowers of their loan obligations if they develop severe and lasting disabilities after they took out federal student loans. The law is intended to spare disabled borrowers –- some of whom cannot and never will be able to work, and thus never be able to pay off their debt.

But currently, the process is tedious: Borrowers have to fill out endless forms and obtain medical records their doctors, and there is no written medical standard for determining a disability, and no formal appeals process for denial.

An internal report, first published in the Propublica/CPI investigation, uncovered internal documents from the federal student-aid ombudsman to the Education Department excoriating the department’s review process and recommending it be contract the decisions out to the other government agencies to determine disability.

The irony is that the department does contract out its loan-discharge decisions –- to private companies, who are also hired to manage other programs. And that’s part of the problem -– when decisions get back to the federal department, they often don’t make it back to the borrower who is still waiting for a response and meanwhile racking up interest on top of their piling debt. The ProPublica/CPI investigation pointed out cases of borrowers applying and reapplying to have their loans discharged for five years or longer and having to pay with their dismal Social Security checks.

The Office of the Inspector General has been criticizing the department’s practices for years, and internal review led to a switch in contractors last year.

Federal reforms have been made to ease the process for people who become disabled: In 2008, Congress passed a law that relaxed the discharge standard from terminal and indefinite to five full years and made it easier for veterans to be discharged immediately. Two years later, the Education Department implemented these changes, among others to improve communication with borrowers.

Reforms are nice, if they are actually practiced. But if the government can’t control its own departments, who can?

Discussion & Comments (0)

    Recent Articles

    • Things You Should Know about North America

      Things You Should Know about North America

      Get to know more about North America.

    • Eurovision 2010 Paula Seling Unpredictable Contest

      Eurovision 2010 Paula Seling Unpredictable Contest

      Paula Seling's experience on the Eurovision stage led her to declare that "Eurovision is an unpredictable contest". Which may explain the success of the young Lena from Germany, about whom the predictions before the event did not offer much chances for victory.

    • VIPRow.me - The Best Sports Streaming Website Today

      VIPRow.me - The Best Sports Streaming Website Today

      Have you ever contemplated creating a user-friendly site dedicated to sports-related free live streaming channels?

    • Learn How To Download, Install, And Use The Xnxubd 2022 Frame App

      Learn How To Download, Install, And Use The Xnxubd 2022 Frame App

      XNXUBD 2022 Nvidia users are able to watch thousands of videos and other contents online. XNXUBD 2022 Nvidia New is a piece of software that enables people to watch videos online without having to pay for memberships. On a graphics card, the XNXubd also provides some of the best gaming and virtual reality experiences.

    • Xvideostudio Video Editor Apk Free Download For Pc Full Version In 2022

      Xvideostudio Video Editor Apk Free Download For Pc Full Version In 2022

      A new edition of the Video Editor Apk for xVideostudio.Video Studio has all the latest features, including support for multiple video download formats in HD, FHD, and even 4K resolutions.

    • 9 Best Lotion For Masturbation - Popular Choice For 2022

      9 Best Lotion For Masturbation - Popular Choice For 2022

      Masturbation is a common activity for men and women. It's a natural and risk-free way to explore your body, experience pleasure, and release sexual tension.

    • Reasons Why You Need To Stop Watching Movies From Sflix

      Reasons Why You Need To Stop Watching Movies From Sflix

      Without having to sign up or pay anything, you can watch movies online for free with SFlix. It has more than 10,000 movies and television shows.

    • Coi Leray Mom And Dad's Family History & Wife, Explained

      Coi Leray Mom And Dad's Family History & Wife, Explained

      Coi Leray Collins (born May 11, 1997) is a rapper from the United States. Leray started publishing songs to SoundCloud in 2014, and in 2018 she released her breakthrough track "Huddy" as well as her first mixtape, Everythingcoz.

    • Listen And Download Music On MyFreeMP3 For Free

      Listen And Download Music On MyFreeMP3 For Free

      Are you in a bind and looking for a place to obtain free mp3 songs? Never again will you need to bother, since this article has everything necessary to obtain your solution. Download free music from MyfreeMP3.com, one of the world's most popular websites.