Student loan borrowers sue Trump administration over forgiven debts on credit reports
A group of student loan borrowers sued the Trump administration on Thursday, alleging they suffered unexpected financial damages despite getting their debts forgiven years ago.
The borrowers said in their lawsuit, Woods v. U.S. Department of Education, filed in the U.S. District Court for the District of Columbia, that the department continues to report their canceled federal student loans to credit reporting companies as active. The inaccurate credit reports can affect borrowers’ ability to obtain mortgages, rental housing, auto loans and employment, according to The Project on Predatory Student Lending, which is serving as counsel for the plaintiffs.
