Approximately 1% of the more than 73,000 borrowers applying for the Service Leverage Service Funding program have been provided with relief since the program was created in 2007, according to department data.
The case blames the Department of Education for not denying applicants "in arbitrary and impaired" and does not have an area process to review wrong decisions or make sure the companies Ownership loans provide accurate guidance to borrowers about their eligibility.
"Instead of helping millions of Americans with debt relief under the Public Service Service Appeal program, DeVos was hurt and abandoned by them. And instead of cooperating with lawmakers to improve the program millions of teachers, firefighters, nurses and first responders deserve it, DeVos removed it, "said Randi Weingarten, president of the American Federation of Teachers, in a statement.
A spokesperson for the Department of Education refuses to comment on pending trial.
The Public Service Loan Leverage program is meant to encourage people who are debt-paying to stay in low-paying jobs that serve the public. Teachers, social workers, public defenders and doctors are among those who may be eligible. They should work for an eligible non-profit or government employer, as well as the proper form of federal student loan and enroll in a specific form of payment plan.
Eight educators were also named in the complaint, seeking a forgiving loan in their particular cases. It also requires the department to fix the application process and have an appeals process.
Chicago public school teacher Cynthia Miller is reporting a complaint that he has been denied forgiveness because his debt repayments are first.
But the new rule is different, entrusted to the Department of Education.
Some Democrats have proposed expanding the program. A bill introduced in April by Virginia Sen. Tim Kaine and presidential hopeful at New York Sen. Kirsten Gillibrand will disburse half of the borrowers' debt after five years of payment and forgive the rest after 10 years.
Several other Democratic presidential candidates have set the bill, with Sens. Michael Bennet of Colorado, New Jersey's Cory Booker, Kamala Harris of California, Amy Klobuchar of Minnesota, Bernie Sanders of Vermont, and Elizabeth Warren of Massachusetts.