BDTR Program in Limbo – Find Another Way Forward for Federal Student Loans

A post on Theresa Sweet’s [Plaintiff in Sweet v. Cardona’s class action BDTR lawsuit] Facebook page says the majority of workers reviewing BDTR claims have been laid off and majority of Ombudsman staff have been fired.

For several months now, we have been of the opinion that while filing a Borrower Defense to Repayment application is free and available, we do not expect to see any discharges any time soon for new applications that are filed after the Cardona class action settlement.  You may expect to see a forbearance due to the filing, but use it more as a place marker to give you time to explore and take advantage of other ways to deal with your student loans.

Please see our last blog re: documents/downloads you should do now to keep track of your records.