Twenty-one states and the District of Columbia have filed suit against the government for a new rule on the Public Service Loan Forgiveness plan.
Nov. 3 New York Attorney General Letitia James and 21 other attorneys general filed suit against the Department of Education and Secretary Linda MacMahon on Monday for a change in policy to the Public Service Loan Forgiveness plan.
On Thursday, the Trump administration announced the final rule on a plan that excluded borrowers who work for organizations that support “illegal immigration, child trafficking, pervasive damage to public property and disruption of the public order.”
“Public Service Loan Forgiveness was created as a promise to teachers, nurses, firefighters, and social workers that their service to our communities would be honored”, James said in a statement. “Instead, this administration has created a political loyalty test disguised as a regulation. It is unjust and unlawful to cut off loan forgiveness for hardworking Americans based on ideology. I will not let our federal government punish New York’s public servants for doing their jobs or standing up for our values.”
The PSLF program allows those who work in public service jobs or for non-profits for 10 years and make payments on their loans during that time to get their federal loans forgiven.
