Federal Student Aid reverses course on some relief approvals

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Many student loan borrowers were left confused Tuesday morning after receiving an email reversing course on their student debt relief applications.

saying that their application was approved to receive up to $20,000 in loan cancellation. That email, signed by Education Secretary Miguel Cardona, said that they would discharge borrowers' approved debt"if and when we prevail in court."However, the latest emails say some approvals were sent in error. Now, those borrowers will have to wait until the program clears the courts in order to know how much, if any, of their debt will be wiped out.for the relief program.

"[Tuesday's email] may not seem like a big deal, but borrowers are trying to figure out how to move on with their lives," Yu says."And so they're hanging on these words and these words matter."

 

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