Student loan forgiveness will no longer apply to people working for illegal businesses

The US Education Department wants to change rules for a student loan forgiveness program. It plans to exclude people who work for organizations that engage in illegal activities. This means taxpayers will not pay off loans for people working at businesses with a "substantial illegal purpose."

The Public Service Loan Forgiveness program was designed to help people working in public service or for non-profits. This change clarifies that "public service" does not include organizations breaking the law. It closes a loophole that allowed people working for questionable organizations to get their student loans paid by the government.