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Education Department Saves $1 Billion, Tightens Fraud Checks

4/3/2026

Summary

Story summary

The Department of Education says it saved over $1 billion by eliminating fraud from federal student aid.
A new report criticizes the Biden administration for lax identity verification enabling fraud.
In response, the department implemented mandatory identity checks for first-time applicants and hired a fraud-detection team.
Education Secretary Linda McMahon initiated a review of student aid programs and improved data-sharing with the Social Security Administration, saving $30 million.

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Story summary

The Department of Education says it saved over $1 billion by eliminating fraud from federal student aid.
A new report criticizes the Biden administration for lax identity verification enabling fraud.
In response, the department implemented mandatory identity checks for first-time applicants and hired a fraud-detection team.
Education Secretary Linda McMahon initiated a review of student aid programs and improved data-sharing with the Social Security Administration, saving $30 million.