AFT sues Education Department over removal of IDR student loan applications
The American Federation of Teachers (AFT), one of the largest unions of educators in the country, sued the Department of Education Wednesday over the removal online of income-driven repayment (IDR) student loan applications.
At the end of February, the Education Department removed access to IDR plans after the 8th Circuit Court of Appeal ruled the Biden administration’s Saving on Valuable Education IDR plan was illegal.
Though the department says the move is temporary, this means borrowers cannot apply for IDR plans such as the Public Service Forgiveness Loan program, which is a popular option for teachers.
“The AFT has fought tirelessly to make college more affordable by limiting student debt for public service workers and countless others — progress that’s now in jeopardy because of this illegal and immoral decision to deny borrowers their rights under the law,” said AFT President Randi Weingarten.
“Today, we’re suing to restore access to the statutory programs that are an anchor for so many, and that cannot be simply stripped away by executive fiat,” Weingarten added.
The Department of Education said the move was temporary to ensure the IDR programs were in line with the 8th Circuit’s ruling and the applications could be up as soon as next week.
“The Department is working to ensure these programs conform with the 8th Circuit's ruling, and anticipates the revised form allowing borrowers to change repayment plans to be available as soon as next week,” the spokesperson said.
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