Trump changes higher ed with rollback of Obama-era consumer protections – Washington Post
Step by step, the Trump administration is walking back policies and rules in higher education that its predecessor said were needed to protect students who rely on federal funding to pursue a degree.
Supporters say the Education Department under President Trump is restoring balance after overreach during the Obama administration led to punitive regulations and aggressive policing that threatened the stability of schools and student loan companies. But consumer advocates say they fear Trump is unraveling years of work to ensure borrowers are placed ahead of profits.
Through the first half of the year, the department led by Education Secretary Betsy DeVos has withdrawn, delayed or announced plans to revamp more than a half dozen Obama-era measures involving federal student aid.
The U.S. Department of Educations illegal refusal to implement these protections means that more students will continue to drown in debt, while taxpayers foot the bill, said Massachusetts Attorney General Maura Healey(D).
[Trump administrations delay of rule to regulate career-training programs sparks protest]
What started as a slow chipping away of Obama administration directives has turned into full-fledged overhaul of regulations.
In March, the department announced schools would be given more time to appeal poor reviews under what is known as the gainful employment rule, which threatens to withhold student aid from vocational programs whose graduates consistently end up with more debt than they can repay.
By June 14, the department announced an effort to rewrite the rule entirely. Weeks later, DeVos said schools would be given another year to comply with certain provisions and tell students how their programs are performing.
The secretarys priority is to put students needs first, and the department is committed to doing just that, said department spokeswoman Liz Hill. Every step taken to reduce regulatory burdens or to enter a negotiated rulemaking process is done with the best interests of students inmind.
[Betsy DeVos delays 2 Obama-era rules designed to protect students from predatory for-profit colleges]
Another much-debated rule is borrower defense to repayment, which erases federal loans for students whose colleges used illegal or deceptive tactics to get them to borrow money to attend. On the books since the 1990s, the rule was revised last year to speed up and simplify the claims process and shift more of the cost of discharging loans ontoschools.
Before those changes could take effect July 1, DeVos suspended them last month and said she would convene a committee to reconsider the matter. That led Healey and 18 other Democratic state attorneys general to file a lawsuit Thursday seeking to prevent any delay of the updated borrower-defense rule.
[Attorneys general sue DeVos over delay of rule to protect students from predatory colleges]
DeVos said her action will have no impact on tens of thousands of pending claims, but some borrowers say the process has already ground to a halt.
In early January, Jessica Madison received a notice from the department approving the forgiveness of $19,000 she amassed in debt for a paralegal program at Everest College in Clearwater, Fla., a for-profit school that was operated by now-defunct Corinthian Colleges. The notice, reviewed by The Washington Post, said the debt would be discharged within 60 to 120 days, but it was not.
Instead, Madison said the government has been garnishing her paycheck to recoup the debt. She said she has struggled to repay the money since leaving Everest in 2009 because it took her nearly three years to land a full-time job.
[Feds found widespread fraud at Corinthian Colleges. Why are students still paying the price?]
I wasnt able to have power for weeks because my checks couldnt cover the bills, Madison said. This has put me in a deep hole that is taking long to crawl out of.
Hill declined to discuss Madisons case. But the department spokeswoman said too many students ... have gotten caught up in a convoluted and confusing process set up by the previous administration.
It is our aim to make sure students are protected from predatory practices, taxpayers are protected and universities and colleges have clear, fair and balanced rules to follow, sheadded.
Hill said the department has discharged debt for nearly half of the 16,453 approved claims it inherited from the Obama administration. About 64,000 remaining applications for relief, some three years old, are still under review.
Consumer attorney Toby Merrill said the tedious process of approving individual claims is exactly why the Obama administration included automatic loan discharges for groups of defrauded students.
[New federal rules could make it easier to have student loans forgiven]
For-profit colleges contend that the Obama administrations initiatives were designed to cripple their schools. DeVos has voiced sympathy with these complaints, calling the gainful-employment rule overly burdensome and confusing for schools.
But advocates of the rule say it protects students from shoddy programs and high loan-default rates. Ninety-eight percent of the programs that failed to meet the standards outlined in the rule are offered by for-profit colleges.
Rewriting the gainful-employment and borrower-defense rules is part of a broader effort at the department to reduce regulation.
DeVos said last month that a regulatory reform task force is scrutinizing over 150 rules and more than 1,700 pieces of policy guidance. Many could be targeted for repeal or modification.
If you had to summarize the actions that weve seen so far from the Department of Education, its an effort to reduce the federal footprint, said Terry W. Hartle, senior vice president of the American Council on Education.
The council, which represents college and university presidents, had been skeptical during the Obama administration of what it viewed as a trend toward federal micromanagement ofschools.
The task force is co-chaired by Robert S. Eitel, a former attorney at for-profit college operator Bridgepoint Education, who is now senior counsel to DeVos. Critics say the task force is failing to account for the views of students.
At no point are they asking for the input of student loan borrowers or people enrolled in college, said Alexis Goldstein, senior policy analyst at the progressive Americans for Financial Reform. The common theme here is enriching a certain number of private actors at the expense of protections for borrowers.
[DeVos dials back consumer protections for student loan borrowers]
Goldstein cited DeVoss withdrawal of three Obama-era memos designed to strengthen consumer protections for student loan borrowers. One required the department to consider a loan servicers record, including consumer complaints and state investigations, before awarding a contract.
It was a straightforward memo, Goldstein said. Getting rid of it just paves the way for student loan companies that have committed abuses against borrowers to continue on.
Department spokeswoman Hill said the directives contained shifting deadlines, changing requirements and even regulations that contradicted themselves. She said the department retained all of the meaningful borrower protections in its amended service contract.
[Betsy DeVos hits hard reset on student loan servicing contracts]
But the revised contract stripped out a requirement that the company have specialists on hand to aid people in delinquency, a feature meant to stem loandefaults.
DeVos frames the changes she has made as necessary reforms to complex policies. Not only does she want to recast Obama-era regulations, she also has suggested that Congress should consider scrapping the Higher Education Act of 1965 and starting over.
It doesnt make a lot of sense to simply amend a 50-year-old law, DeVos said in June to the Association of Public and Land-grant Universities. Adding to a half-century patchwork will not lead to meaningful reform. Real change is needed.
There are no signs that Congress will act on that recommendation. But it seems clear that the administration is seeking to shift the federal role in higher education. Whats not clear is the end goal. For all of the measures that have been repealed, the department has been short on the specifics of replacements.
The early moves seem to be responsive to industry pet peeves, said Rohit Chopra, the former student loan ombudsman at the Consumer Financial Protection Bureau. Its just not clear to me whats the vision.
Original post:
Trump changes higher ed with rollback of Obama-era consumer protections - Washington Post
- Barack Obama heads to the UK for talks - voice-online.co.uk - July 8th, 2025 [July 8th, 2025]
- Michelle Obama had to fight back tears during podcast. Heres why - PennLive - July 8th, 2025 [July 8th, 2025]
- Barack Obama to lift the lid on life in office in two live appearances - The Independent - July 8th, 2025 [July 8th, 2025]
- FanDuel adds former Obama advisor and ex-NFL head to policy team - EGR North America - July 8th, 2025 [July 8th, 2025]
- Obama's scathing assessment of Biden's failed campaign revealed - Fox News - July 8th, 2025 [July 8th, 2025]
- An Evening With Barack Obama Heading To Arenas In London And Dublin In September - Stereoboard.com - July 8th, 2025 [July 8th, 2025]
- An Evening with President Barack Obama announced for London and Dublin - Mixtape Madness - July 8th, 2025 [July 8th, 2025]
- Former President Barack Obama to speak at Dublin event later this year - Hotpress - July 8th, 2025 [July 8th, 2025]
- Barack and Michelle Obama Say They're 'So Proud' of Daughter Malia on 27th Birthday: 'Keep Shining Bright, My Love' - People.com - July 6th, 2025 [July 6th, 2025]
- Steph Curry revealed what Barack Obama's golf game is like after playing with him and Jordan Spieth - The Golfing Gazette - July 6th, 2025 [July 6th, 2025]
- Barack and Michelle Obama Share Why They're "So Proud" of Malia on Her 27th Birthday - instyle.com - July 6th, 2025 [July 6th, 2025]
- Michelle Obama's new photo of Malia on her birthday leaves fans saying the same thing - hellomagazine.com - July 6th, 2025 [July 6th, 2025]
- Malia Obama celebrates her birthday on Fourth of July: Our favorite looks over the years - hola.com - July 6th, 2025 [July 6th, 2025]
- Your campaign is a mess: What incredulous Obama thought of Biden running again - Washington Examiner - July 6th, 2025 [July 6th, 2025]
- Malia Obama, Suri Cruise, Jennifer Garner, and more celebs wearing overalls - hola.com - July 6th, 2025 [July 6th, 2025]
- Bush, Obama and singer Bono fault Trumps gutting of USAID on agencys last day - Politico - July 4th, 2025 [July 4th, 2025]
- USAID officially closes, attracting condemnation from Obama and Bush - BBC - July 4th, 2025 [July 4th, 2025]
- Mamdani campaign hires former Obama, Clinton spokesperson who wished death on Trump - New York Post - July 4th, 2025 [July 4th, 2025]
- Bush, Obama and singer Bono fault Trumps gutting of USAID on agencys last day - AP News - July 4th, 2025 [July 4th, 2025]
- News - Mrs. Obama: Nation Must Step up Forever for Military Families - DVIDS - July 4th, 2025 [July 4th, 2025]
- News - Obama: Wont Accept Budget That Shortchanges Readiness - DVIDS - July 4th, 2025 [July 4th, 2025]
- Malia Obama shows off her summer abs on the way to the gym in Los Angeles - HOLA - July 4th, 2025 [July 4th, 2025]
- Readers respond: Obama deal would have avoided Trump bombing - OregonLive.com - July 4th, 2025 [July 4th, 2025]
- Rubio hails end of USAID as Bush, Obama deplore cost in lives - France 24 - July 4th, 2025 [July 4th, 2025]
- Obama, Bush and Bono bid a fond farewell to USAID - Daily Kos - July 4th, 2025 [July 4th, 2025]
- Fmr. Obama Treasury Sec. concerned Zohran Mamdani will ruin NYC if elected mayor - Fox News - July 4th, 2025 [July 4th, 2025]
- Comments - Obama and Bush Team Up To Shred Trump Over USAID - The Bulwark - July 4th, 2025 [July 4th, 2025]
- How Trump plays with new media says a lot about him as it did with FDR, Kennedy and Obama - The Conversation - July 4th, 2025 [July 4th, 2025]
- Obama Urges Americans to Pressure Reps to Reject Trump Megabill - The Rickey Smiley Morning Show - July 4th, 2025 [July 4th, 2025]
- Obama and Bush Unite in Rare Move Against Trump - The Daily Beast - July 2nd, 2025 [July 2nd, 2025]
- Bush, Obama and Bono Commend USAID Staff Members on Their Last Day - The New York Times - July 2nd, 2025 [July 2nd, 2025]
- Lucas: Obama and the Democrats paved the way for Irans nuclear program - Boston Herald - July 2nd, 2025 [July 2nd, 2025]
- Obama, Bush decry travesty of Trumps gutting of USAID on its last day - Al Jazeera - July 2nd, 2025 [July 2nd, 2025]
- Obama, Bush criticize Trump administration for gutting USAID - Washington Examiner - July 2nd, 2025 [July 2nd, 2025]
- 10 Years Later: Looking Back On a Week That Shaped Our Country - Barack Obama Medium - July 2nd, 2025 [July 2nd, 2025]
- Bush, Obama and Bono bid farewell to USAID as 14m more deaths forecast without it - The Independent - July 2nd, 2025 [July 2nd, 2025]
- Obama, Bush and Bono eulogize USAID on final day - The Week - July 2nd, 2025 [July 2nd, 2025]
- House Republicans call for investigation into Obama-appointed judge in Trump funding case - AOL.com - July 2nd, 2025 [July 2nd, 2025]
- Donald Trump's 'colossal mistake' BLASTED by Obama and Bush during surprise reunion that left Bono in tears - Daily Mail - July 2nd, 2025 [July 2nd, 2025]
- Physician Tina Shah, who served in Obama and Biden administrations, will challenge Kean in NJ-7 - New Jersey Globe - July 2nd, 2025 [July 2nd, 2025]
- Michelle Obama shares the three words her dying mother said that changed her outlook on life - TheGrio - July 2nd, 2025 [July 2nd, 2025]
- Michelle Obama's podcast puts her in limelight in new Trump era, but she's not coming to Democrats' rescue - Fox News - July 2nd, 2025 [July 2nd, 2025]
- Bush and Obama fault Trumps gutting of USAID on agencys last day - MSN - July 2nd, 2025 [July 2nd, 2025]
- Don Jr.: "Affirmative Action" is why Obama won Nobel, not Trump - CNN - June 29th, 2025 [June 29th, 2025]
- A former Obama speechwriter learned to surf with his Joe Rogan-loving brother-in-law. Heres what happened next. - Inquirer.com - June 29th, 2025 [June 29th, 2025]
- The key difference between Obama and Trump on immigration - Orange County Register - June 29th, 2025 [June 29th, 2025]
- Michelle Obama shares 4 words her mom said at the end of her life that stuck with her - NPR - June 29th, 2025 [June 29th, 2025]
- Michelle Obama Discusses Parental Pain After Malia Changes Her Last Name to Push Away From Her Parents - Yahoo - June 29th, 2025 [June 29th, 2025]
- Michelle Obama Emotionally Shares Impact of 3 Words from Her Dying Mother - MSN - June 29th, 2025 [June 29th, 2025]
- Michelle Obama Reveals the Four Dying Words from Her Mother That Changed the Way She Lives Her Life - parade.com - June 29th, 2025 [June 29th, 2025]
- Michelle Obama reveals why shes rarely seen with Barack - Yahoo - June 29th, 2025 [June 29th, 2025]
- See the photos of Barack Obama School for Social Justice graduation ceremony - Lohud - June 29th, 2025 [June 29th, 2025]
- Viral video: Michelle Obama tears up while remembering her mother, reveals her take on death | Watch - Mint - June 28th, 2025 [June 28th, 2025]
- Michelle Obama says Barack Obama divorce rumor reactions are like 'the apocalypse' - USA Today - June 28th, 2025 [June 28th, 2025]
- This week in whoppers: Former aide's 'anti-war' Obama fantasy, Nina Turner's ignorance on Iran's abuse of women and more - New York Post - June 28th, 2025 [June 28th, 2025]
- Obama and Biden sent American taxpayers' money to Iran...: White House reveals - WION - June 28th, 2025 [June 28th, 2025]
- Trump Jr Says Obama Getting Nobel Prize Over Father Is 'Affirmative Action' - Newsweek - June 28th, 2025 [June 28th, 2025]
- Michelle Obama Gets Emotional Talking About the 3 Powerful Words Her Mom Said While Dying - People.com - June 28th, 2025 [June 28th, 2025]
- Ex-Obama aide says its insane to think Cuomo is best choice for New York mayor as it happened - The Guardian - June 28th, 2025 [June 28th, 2025]
- We are 60: Michelle on divorce rumors, explains why she's rarely seen with Barack Obama - Times of India - June 28th, 2025 [June 28th, 2025]
- Ex-Obama aide: Insane to think Cuomo better than democratic socialist - The Hill - June 28th, 2025 [June 28th, 2025]
- Michelle Obama addresses divorce rumors and why shes rarely seen with Barack: Were 60, yall - New York Post - June 28th, 2025 [June 28th, 2025]
- Democrats are more likely than Republicans to support naming public places after Obama, Harvey Milk, and Malcolm X - YouGov - June 28th, 2025 [June 28th, 2025]
- Trump Jr. says Barack Obama getting Nobel Peace Prize over his father is affirmative action - TheGrio - June 28th, 2025 [June 28th, 2025]
- Michelle Obama addresses rumors of the end of our marriage - The Hill - June 28th, 2025 [June 28th, 2025]
- Michelle Obama reacts to divorce rumours: Were 60, yall! - The Indian Express - June 28th, 2025 [June 28th, 2025]
- Michelle Obama mocks rumors that her marriage is in trouble - Fox News - June 28th, 2025 [June 28th, 2025]
- Michelle Obama Addresses Divorce Rumors and Why Shes Rarely Seen with Husband Barack - instyle.com - June 28th, 2025 [June 28th, 2025]
- Michelle Obama addresses the Barack Obama divorce rumors with humor - HOLA - June 28th, 2025 [June 28th, 2025]
- Megyn Kelly parodies Michelle Obama as she hits out at former first lady for 'never having a positive word to say' - Daily Mail - June 28th, 2025 [June 28th, 2025]
- Michelle Obama Explains Her Rare Public Outings With Barack - The Daily Beast - June 28th, 2025 [June 28th, 2025]
- Michelle Obama says Barack Obama divorce rumor reactions are like 'the apocalypse' - MSN - June 28th, 2025 [June 28th, 2025]
- Michelle Obama reveals why shes rarely seen with Barack - The Telegraph - June 28th, 2025 [June 28th, 2025]
- Michelle Obama Just Revealed Why She's Glad She Didn't Have Boys, And Her Reason Makes Sooo Much Sense - BuzzFeed - June 28th, 2025 [June 28th, 2025]
- Michelle Obama addresses lack of public appearances with husband Barack following divorce rumors - The Independent - June 28th, 2025 [June 28th, 2025]
- Obama CBA Coalition adds the $9B Illinois quantum park to its fight for environmental and housing justice - The TRiiBE - June 24th, 2025 [June 24th, 2025]
- Michelle Obama says a line her mom used to repeat about parenting always stuck with her - Business Insider - June 24th, 2025 [June 24th, 2025]
- Rewind: Did Trump claim in 2011 that Obama would start war with Iran to get elected? - Snopes.com - June 24th, 2025 [June 24th, 2025]
- Obama will start a war with Iran to win re-election: Amid US strikes on Tehran, Donald Trumps old twe - Times of India - June 24th, 2025 [June 24th, 2025]
- Did Netanyahu coerce Trump into attacking Iran? No but he tried with Obama - The Forward - June 24th, 2025 [June 24th, 2025]