"The Trump administration finalized its rule to limit Public Service Loan Forgiveness."
""Taxpayer funds should never directly or indirectly subsidize illegal activity," Under Secretary of Education Nicholas Kent said in a statement, using violations of immigration law and efforts to help transgender people as examples of "illegal activity." "With this new rule, the Trump Administration is refocusing the PSLF program to ensure federal benefits go to our Nation's teachers, first responders, and civil servants who tirelessly serve their communities," Kent said."
"A fact sheet from the Department of Education said that the final rule amends the definition of a qualifying employer "to exclude employers that participate in illegal activities such that they have a substantial illegal purpose." In addition to immigration law violations and supporting transgender people, the department said other examples of illegal activity include patterns of discrimination and a "pattern" of state law violations"
The Department of Education finalized a rule that narrows eligibility for Public Service Loan Forgiveness by redefining qualifying employers. The rule excludes employers that the department determines participate in illegal activities such that they have a substantial illegal purpose. Examples cited include violations of immigration law, efforts to support transgender people, patterns of discrimination, and patterns of state law violations. The rule follows an executive order in March directing a redefinition of "public service" and resulted from stakeholder negotiations. The rule takes effect on July 1, 2026. Advocacy groups indicated plans to sue over the new rule.
#public-service-loan-forgiveness #department-of-education #student-debt #illegal-activity-definition
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