Biden Administration Changes Student Loan Guidance, as Republican-Led States File Lawsuit

It was not immediately clear what led to the decision. A spokesman for the Education Department said “our goal is to provide relief to as many eligible borrowers as quickly and easily as possible, and this will allow us to achieve that goal while we continue to explore additional legally available options to provide relief to borrowers with privately owned FFEL loans.”

Betsy Mayotte, president of the Institute of Student Loan Advisors, said the updated guidance is “a gut punch, to say the least.”