Rep. Wild Votes to Override Presidential Veto, Protect Defrauded Student Borrowers

June 26, 2020
Press Release

VIDEO: Rep. Wild's Full Remarks


WASHINGTON – Today, U.S. Representative Susan Wild (PA-07), a member of the House Education and Labor Committee, voted to override a Presidential veto of H.J.Res.76 and support students defrauded by predatory colleges. The resolution, passed by both chambers of Congress with strong bipartisan support, would block Secretary of Education Betsy DeVos’ Borrower Defense rule that would deny debt relief for thousands of defrauded students and shield predatory institutions from accountability. The rule is set to go into effect on July 1.


Since taking office, Secretary DeVos has openly refused to implement the Obama-era Borrower Defense rule which created a streamlined process to help defrauded borrowers access relief – a process to which they are entitled through the Higher Education Act. When Secretary DeVos appeared before the House Committee on Education and Labor last December, Wild held her accountable for her refusal to implement this rule for the 7,127 defrauded students in Pennsylvania still waiting for relief.


“These students have been cheated twice: First by predatory colleges who defrauded them, and now by Secretary DeVos, who refuses to provide them debt relief,” Wild said. “They were left with crushing debt, worthless degrees, and none of the job opportunities they were promised. Secretary DeVos could provide immediate relief to these students right now, but instead, she has spent the past two years complicating and stalling the debt relief process and written a rule that prioritizes the interests of predatory institutions over America’s students. With this vote today, we can finally reject this rule for good.”


In August 2019, the Secretary rewrote the rule to make it more difficult for borrowers to get relief, severely restrict how much relief borrowers can receive, and shift the cost of providing debt relief from predatory schools to taxpayers. By weakening the Obama-era rule that ensures predatory schools facing allegations of widespread fraud are forced to set aside money to cover the potential cost of debt relief, the DeVos rule would result in institutions repaying only 1 percent of debt relief for defrauded borrowers. The other 99 percent would be paid by taxpayers. 



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