Article 70PR1 Trump officials reportedly consider selling student loan debt to private investors

Trump officials reportedly consider selling student loan debt to private investors

by
Marina Dunbar
from US news | The Guardian on (#70PR1)

Experts say the move could eliminate the federal government's power to cancel educational loans

Officials in the Trump administration are reportedly weighing the possibility of selling portions of the federal government's $1.6tn student loan portfolio to private investors, which experts say could carry risks for both taxpayers and borrowers - potentially reshaping the student loan landscape in unpredictable ways.

Senior officials at the education and treasury departments have been engaged in internal conversations about offloading select, high-performing segments of the government's student debt holdings, according to a Politico report this week. These loans are part of the larger portfolio owed by roughly 45 million borrowers nationwide.

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