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Sunday, March 9, 2025

Trump restricts nonprofit eligibility for student loan forgiveness program

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Marci McCarthy Chairman | DeKalb County Republican Party

Marci McCarthy Chairman | DeKalb County Republican Party

President Trump has signed an executive order aimed at narrowing the eligibility for the Public Service Loan Forgiveness (PSLF) Program. This move seeks to exclude nonprofit organizations that are perceived to engage in illegal activities from participating in the program.

The PSLF Program allows individuals employed in government roles, such as police officers and teachers, or those working with nonprofits, to receive student loan forgiveness after ten years of consecutive payments. The executive order specifically targets nonprofits involved in activities deemed to have "a substantial illegal purpose."

According to a statement within the executive order, there is concern that tax dollars are being misdirected into activist organizations that allegedly fail to serve public interest and potentially harm national security and American values. A staff member from Trump's team expressed concerns about some nonprofit employees working for organizations involved in what they consider improper activities, including supporting illegal immigration or foreign terrorist organizations.

Public reactions on social media reflect mixed opinions about this development. Some argue against any form of student loan forgiveness for NGO workers, emphasizing personal responsibility for repaying loans.

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