Why these student loans aren’t being erased after colleges close : NPR

Key Points:

• Kendrick Gaussoin, a former Brooks Institute photography student, lost his chance at a degree when the school abruptly closed in 2016, leaving him with significant student loan debt and no clear path to discharge those loans under existing rules.
• A Biden-era expansion in 2025 widened the eligibility window for closed school loan discharges, making Gaussoin and others eligible for debt cancellation, but the subsequent Trump administration denied his discharge request, rejecting the expanded criteria.
• The lawsuit filed by Student Defense alleges the Trump administration illegally ignored the Biden-era rule change, which was made within the Education Department's legal authority, and argues that reversing such changes requires a formal legal process and public explanation.
• Brooks Institute had a history of declining enrollment and accusations of misleading students about costs and job prospects, which contributed to the financial burdens on students like Gaussoin and his mother, who both now carry substantial debt without a degree.
• The case highlights ongoing struggles of borrowers affected by sudden school closures and raises concerns about the federal government's inconsistent handling of closed school discharge policies across administrations.