Trump is changing student loan forgiveness rules – barring some public workers from getting relief, but resuming it for others
(The Conversation is an independent and nonprofit source of news, analysis and commentary from academic experts.)
Jennifer L. Steele, American University
(THE CONVERSATION) The Trump administration has tried to upend many facets of American life, and many facets of higher education are no exception.
The Department of Education announced on Oct. 27, 2025, that it would resume canceling student loan debt for certain borrowers, after the government stopped this practice earlier in 2025.
The Trump administration also announced on Oct. 30 that it is planning to limit loan forgiveness eligibility for former students who work at nonprofit organizations and whose work has what the Trump administration calls a “substantial illegal purpose.” This means organizations that work with immigrants and transgender youth.
Amy Lieberman, education editor at The Conversation U.S., spoke with Jennifer L. Steele, a scholar of the economics of education, to understand the significance of these announcements and what student loan borrowers should know.
How big is the problem of student loan debt?
There is currently more than US$1.6 trillion of student loan debt in the United States. That number has...