Story perspectives

Trump Dismantles Education Department, Shifts Loans to SBA

4/24/2025

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Summary

Story summary

On March 20, 2025, President Trump ordered the dismantling of the U.S. Department of Education, shifting student loan management to the SBA.
Collections on defaulted loans will resume on May 5, impacting millions of borrowers after a five-year hiatus.
Critics express concerns over the SBA's capability to manage loans, potentially jeopardizing borrower protections and taxpayer funds.
These actions align with Project 2025, which seeks to significantly reduce the size of the federal government.

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Story summary

On March 20, 2025, President Trump ordered the dismantling of the U.S. Department of Education, shifting student loan management to the SBA.
Collections on defaulted loans will resume on May 5, impacting millions of borrowers after a five-year hiatus.
Critics express concerns over the SBA's capability to manage loans, potentially jeopardizing borrower protections and taxpayer funds.
These actions align with Project 2025, which seeks to significantly reduce the size of the federal government.