Washington, D.C. — Moments ago, the U.S. Supreme Court issued a ruling allowing the Trump administration to move forward with sweeping layoffs at the U.S. Department of Education.
In response, Mitria Spotser, vice president of the Center for Responsible Lending (CRL), made the following statement:
“The law is clear. Only Congress holds the authority to dismantle the Department of Education. Yet today, by allowing the administration to all but wipe out the Department’s staff, the Supreme Court majority has condoned dismantling federal oversight of our nation's education standards. This decision also places millions of borrowers at risk of faulty or delayed servicing of their student loans. That result should be unsettling for anyone who values the rule of law and long-term economic security of our country."
“Already, we are seeing mounting delays in processing income-driven repayment (IDR) and Public Service Loan Forgiveness (PSLF) applications. These layoffs will only worsen the existing backlog, threatening borrowers’ ability to receive timely and accurate credit toward loan forgiveness. Without a stable and fully staffed Department of Education, enforcement of student protections will also vary greatly across states.”
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Press contact:
Vincenza Previte: vincenza.previte@responsiblelending.org