Obama Will Forgive Student Loans of Almost 400,000 People With Disabilities


The Education Department announced Tuesday it is taking steps to identify people who are eligible for the Total and Permanent Disability loan discharge — a federal loan-forgiveness program for people who can’t work because of a disability.

This effort is part of President Obama’s Student Aid Bill of Rights, which aims to make paying for higher education easier for Americans.

According to the Associated Press, Secretary of Education Ted Mitchell says too few borrowers have been taking advantage of the program. So, letters will be sent to about 387,000 people who the agency has identified as eligible.

“These are people who are struggling with health issues, “Mitchell said in an interview. “We want to take one worry off their plate.”

The total loans forgiven will be worth about $7.8 billion, the AP reported. Of the people who qualify, about 179,000 people have student loans in default.

The department will start sending out letters beginning Monday to those who are eligible.

h/t Business Insider


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