Dismantling Department of Education could cause chaos for Americans with student loans, experts warn
CBSN
President Trump's executive order on Thursday starting the process of dismantling the Department of Education could throw federal student loan programs into disarray and lead to frustration for millions of borrowers, according to experts.
The Education Department's remit is broad. The agency manages student loans for more than 40 million Americans; oversees $18 billion in Title I funding for elementary and secondary education in low-income areas; issues Pell Grants to help low- and middle-income students pay for college; and administers the Free Application for Federal Student Aid, which lets students apply for loans, grants and other college aid.
"It takes resources to manage that asset, including trained staff to make sure borrowers have good information and colleges can administer loan programs properly," said Peter Granville, a higher education finance expert and fellow at The Century Foundation, a progressive think tank. "It takes technical expertise that only Education Department officials have."
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