Alleged politicization of public service student loan forgiveness sparks lawsuit against Trump administration

Alleged Politicization of Public Service Student Loan Forgiveness Sparks Lawsuit

A lawsuit has been filed against the Trump administration over a new Education Department rule that could block federal student loan borrowers who work for entities assisting migrants or trans youth from the Public Service Loan Forgiveness program.

The rule, published on the 30th, excludes organizations that engage in unlawful activities from participating in the program. Under the Public Service Loan Forgiveness (PSLF) program, individuals who work at an eligible government agency or nonprofit for 10 years and make monthly payments can have the remainder of certain federal student loan balances waived.

The Trump administration's rule will punish organizations doing work the administration opposes on ideological grounds.

A coalition of over a dozen cities, unions, and nonprofits has filed the lawsuit to block the new rule.

Author's summary: Lawsuit filed over rule blocking student loan forgiveness for certain workers.

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Government Executive Government Executive — 2025-11-03

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