Education Dept. Proposes New Rules on Student Loans
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The U.S. Education Department today proposed new rules governing federal student loans, which would, among other things, ease the process by which disabled borrowers could have their loans discharged, establish a new income-contingent repayment plan for direct student loans, and expand the government's income-based repayment program. The changes regarding borrowers with disabilities were prompted by concerns (many contained in a 2011 series by ProPublica) that they were being required to jump through far too many hoops to have their loans forgiven. The rules emerged from a round of negotiations that the agency held last winter, and public comments on the proposed changes are due by Aug. 16.