Home World News Borrowers left in lurch as U.S. mismanages student debt relief: lawsuit

Borrowers left in lurch as U.S. mismanages student debt relief: lawsuit

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Borrowers left in lurch as U.S. mismanages student debt relief: lawsuitThe lawsuit by the American Federation of Teachers and several alleged victims says the department has long bungled its management of the programs, leaving borrowers who followed the rules stuck with their entire student debts. “(The department) has eviscerated the statutory promise of loan forgiveness for those who have spent a decade or more in public service dutifully repaying their loans,” said the 107-page complaint filed in U.S. District Court in Washington. The two programs at issue were created by Congress in 2007 and last year to forgive the remaining student debt of graduates who work as teachers, nurses and in public sector jobs who make timely payments on their loans, typically for 10 years.

Source: Yahoo.com