Democrats plan student-loan oversight

With Democrats set to control both chambers of Congress, lawmakers are preparing hearings and possible subpoenas over the Trump administration’s student-loan policies and management of the Education Department. The department has cut staff and reduced oversight of loan servicers while implementing a repayment overhaul; borrowers have reported billing errors, confusion, and delays in debt relief. Advocates say Congress could scrutinize borrowers’ transfers to repayment plans with higher bills, renewed collections on defaulted loans, and weaker servicer oversight. The administration says federal education functions can be handled by other agencies and that its policies expand affordable pathways and return decision-making to states, communities, and parents. Separately, new federal borrowing limits for graduate and professional students are contributing to increased use of private student loans, which generally offer fewer repayment protections and forgiveness options.