Peterson Joins Call to Forgive Loans to Totally Disabled Vets

Lincoln – Nebraska Attorney General Doug Peterson joined a group of 51 attorneys general in urging the U.S. Department of Education to automatically forgive the student loans of veterans who became totally and permanently disabled in connection with their military service.

The bipartisan coalition issued its letter to federal agency last Friday in advance of Memorial Day, according to a news release.

Last year, the Department of Education identified more than 42,000 veterans as eligible for student loan relief due to a service-related total and permanent disability, the attorneys general wrote in their letter to Secretary of Education Betsy DeVos.

Fewer than 9,000 of those veterans had applied to have their loans discharged by April 2018, and more than 25,000 had loans in default.

The letter, which was led by New Jersey Attorney General Gurbir S. Grewal and Utah Attorney General Sean Reyes, calls on the agency to work to automatically discharge the student loans of veterans determined by the Department of Veterans Affairs to be eligible for such relief.

Until the discharges are made, the letter asks for the federal agency to halt debt collection efforts targeting disabled veterans and clear their credit reports of any negative reporting related to their student loans.

“As a nation, our gratitude is great for those who have pledged their lives in defending our country’s freedom. This letter urging action is an expression of support for veterans who have made great sacrifice,” Peterson said.

– Nebraska Attorney General’s Office

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