Susan Davis: “There are 240,000 defrauded students waiting for student loan relief. Over 40,000 of those students are from my home…”

“There are 240,000 defrauded students waiting for student loan relief. Over 40,000 of those students are from my home State of California. After doing nothing for students who have been defrauded by predatory colleges, the Department has come out with a new borrower defense rule that only makes things worse--in several ways--under the guise of protecting the taxpayer from footing the bill. But we have to remember, our students are taxpayers, too. This new rule clearly gives preference to the very colleges causing the harm from the borrower defense rule that it was intended to prevent. If a school closes before delivering on its promises to students, they should have automatic discharge of their loans to that institution. Students who have spent years bettering themselves working to get into jobs, sacrificing in the hope of improving financial conditions for their families are being told that they simply don't matter. Colleges, on the other hand, can use this system to keep taking money and they don't have to deliver what they promise. Our students deserve protection from predatory practices. Mr. Speaker, the resolution before us today is the first step toward blocking the new fraud borrower defense rule from taking support, and I urge its support.”