Federal Court Denies Delay in $23 Billion Student Loan Forgiveness Settlement
A federal court has denied the Department of Education's request to delay student-debt relief for borrowers entitled to relief under the Sweet vs. McMahon settlement. This settlement, reached in 2022 under the Biden administration, provides $23 billion in relief for over 500,000 borrowers defrauded by their schools. The recent court decision has resulted in automatic relief for an additional 170,000 borrowers. The Project on Predatory Student Lending, an advocacy group representing borrowers, has called this the largest class-action settlement in American history. The settlement addresses claims from borrowers who alleged that the Department of Education failed to process their borrower defense to repayment applications, which are claims submitted by borrowers who believe they were defrauded by their schools. 
