Public Service Loan Forgiveness Program Remains Intact Under McMahon
U.S. Secretary of Education nominee Linda McMahon has pledged to maintain the Public Service Loan Forgiveness (PSLF) program despite potential pressure from the Trump administration.
"We should honor those programs," said McMahon during her confirmation hearing, responding to a question from Senator Tim Kaine.
The PSLF program provides loan forgiveness to government and nonprofit employees after 10 years of on-time payments. However, the program has faced criticism from Republicans who claim it is costly and unfairly benefits public sector workers.
During Trump's first term, then-Secretary of Education Betsy DeVos proposed eliminating the program. Under the Biden administration, the Department of Education prioritized expanding and streamlining PSLF.
McMahon reaffirmed her commitment to the program, stating, "Yes, because that's the law."
The Biden administration has implemented changes to make PSLF more accessible, including allowing borrowers to count past payments and expanding the definition of on-time payments.
Reversing these changes would be difficult and time-consuming, but some student advocates express concerns that the Trump administration could slow down the program.
Executive director of the Student Borrower Protection Center, Mike Pierce, raised concerns about staff reductions and contract cancellations within federal agencies that could impact PSLF.
Despite these concerns, McMahon's confirmation signals the continued support for the PSLF program, providing relief to borrowers who have made significant contributions to public service.