Republicans Advance Major Overhaul of Student Loan and Pell Grant Programs
In a significant move, House Republicans have cleared a committee vote on a sweeping overhaul of the federal student loan and Pell Grant systems. The proposed plan, which aims to address rising college costs, suggests limitations on loan amounts and a restructuring of repayment options, raising concerns among advocates who warn it may harm borrowers. Under the new proposal, students may face longer repayment periods and a reduction in available debt relief options. Critics argue these changes could convert higher education into an upper-class privilege. While Republicans assert that the plan promises substantial savings, skeptics highlight potential threats to affordability and access to education. Key elements of the proposal include capping loan amounts, modifying Pell Grant eligibility, and discontinuing loan forgiveness for certain groups. The Republican-led initiative has ignited a vigorous debate about student debt and the future of higher education funding in the country.
Inside Higher Ed, CNBC, NPR, The Washington Post, Politico, Forbes, New America, The American Prospect, Committee on Education & the Workforce (.gov), Higher Ed Dive