A coalition of Democratic states are suing the U.S. Department of Education to stop new eligibility restrictions for the program that allows student loan forgiveness for government and nonprofit employees after 10 years of service.

The Public Service Loan Forgiveness program became law after President George W. Bush signed the College Cost Reduction and Access Act of 2007 , which was meant to encourage Americans to enter public service by promising to forgive their loans after 10 years of payments. Between June 2024 and July 2025, nearly 3 million Americans had applied for the loan forgiveness program, records from the U.S. Department of Education show.

President Donald Trump in March signed an executive order calling for the education department to change its rules for the pr

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