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Benzinga
Benzinga
Business
Tanya Rawat

Trump Suffers Fresh Court Setback As Federal Judges Block Student Loan Forgiveness Overhaul Ahead of Rollout

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Federal judges in Massachusetts and Washington, D.C., on Tuesday blocked the Trump administration’s overhaul of the Public Service Loan Forgiveness, or PSLF, program, ruling in favor of nonprofit groups and state attorneys general just one day before the new rules were set to take effect.

PSLF is a federal student loan forgiveness program created by Congress in 2007 to encourage graduates to work in government and nonprofit jobs. Under the program, eligible borrowers can have their remaining federal student loan debt canceled after making 10 years of qualifying payments while working in public service.

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