Warren blasts DeVos on reducing loan forgiveness

Warren blasts DeVos on reducing loan forgiveness
© Greg Nash

Sen. Elizabeth WarrenElizabeth Ann WarrenTop Sanders adviser: Warren isn't competing for 'same pool of voters' Eight Democratic presidential hopefuls to appear in CNN climate town hall In shift, top CEOs say shareholder value not top goal MORE (D-Mass.) ripped Education Secretary Betsy DeVosElizabeth (Betsy) Dee DeVosTrump aides pushed for states' ability to block migrant kids from enrolling in public schools: report Criminal justice reform should extend to student financial aid Buttigieg to Detroit audience: Don't judge Indiana by Pence and we won't judge Michigan by DeVos MORE's decision to reduce loan forgiveness for some defrauded students, calling the move "a stingy & ridiculous scheme."

"After almost a year of inaction – and over 100k defrauded students waiting for answers – @BetsyDeVosED has a stingy & ridiculous scheme for making many of them pay the fed govt money they don’t owe. It’s shameful," Warren said in a tweet on Thursday.

 

"When sleazy for-profit colleges break the law & cheat students, the law says these defrauded students can get their entire student loan cancelled. But @BetsyDeVosED found a way to do as little as possible to help as few students as possible," she said in another tweet. 

 

Warren's comments come after DeVos unveiled new rules for giving aid to students who say that they were defrauded by colleges.

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“No fraud is acceptable, and students deserve relief if the school they attended acted dishonestly. This improved process will allow claims to be adjudicated quickly and harmed students to be treated fairly,” DeVos said in a statement.

DeVos's move marks a departure from Obama-era rules, which allowed full loan forgiveness to defrauded students.

Under the new rules, student loan forgiveness would be determined by the affected student's income.

The department said students making less than half of what their peers earn will receive full relief.