Club for Growth opposes the disapproval of the Borrower Defense Institutional Accountability rule. The legislation is expected to be considered soon in the United States Senate. The result of the vote will be included in the Club for Growth Foundation’s 2020 Congressional Scorecard.
In 2016, the Obama administration created a Borrower Defense rule that was disguised as an anti-fraud program, but really served as a loan forgiveness campaign costing taxpayers $40 billion. The current administration issued a new rule in 2019 that took steps to improve transparency for borrowers, hold institutions accountable for misrepresentation, and ensure that students’ claims are treated fairly, while saving over $11 billion.
This Congressional Review Act (CRA) process for restoring the Obama Borrower Defense rule is effectively a gross step toward all student loan forgiveness. Of course, if an educational institution defrauds a student, it should be held accountable. The current administration’s rulemaking is sufficient in this endeavor.
Club for Growth Foundation’s Congressional Scorecard for the 116th Congress provides a comprehensive rating of how well or how poorly each member of Congress supports pro-growth, free-market policies and will be distributed to the public.