Education Department Making Changes To PLUS Loans
Career College Central summary:
The Obama administration is making changes to the PLUS loan program that could help thousands of families qualify for the college financial aid.
In a letter obtained by the Associated Press, the Education Department says it has expanded support for families that have recent but small-scale debt. They may now become eligible for PLUS loans through appeals.
Black lawmakers had pressured the administration about the PLUS loans, saying large numbers of previously eligible applicants have been denied aid under tighter credit rules. Parents and graduate students who use PLUS loans have no borrowing limit, but they face interest rates higher than on most federal student loans.
The changes are outlined in a letter to the chairwoman of the Congressional Black Caucus, Democratic congresswoman Marcia Fudge of Ohio.
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THE ASSOCIATED PRESS