Education Department Proposes to Lower Higher Education Costs, Student Debt

A new student loan repayment plan seeks to ensure that loan balances of low-income borrowers do not increase despite them making payments.

The Department of Education seal, in Washington on July 16, 2019. Samira Bouaou/The Epoch Times

The Department of Education (ED) issued a proposal to reduce the cost of higher education and simplify federal student loan repayment, according to a statement published on Jan. 29.

Through the One Big Beautiful Bill (OBBB) Act (also referred to as the Working Families Tax Cuts Act), passed by Congress last summer, changes to the federal student loan program reduce tuition costs by addressing overborrowing, implementing loan caps for graduate education programs, and streamlining repayment options. The latest proposal is the next step in implementing these changes.