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Education Dept Says Universities Can Use Stimulus to Cancel Debt

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    The United States Department of Education just released new expanded guidance that says universities are able to use their stimulus funds for student debt and other student related needs. This is great news and makes a lot of sense. I don't think we'll see too many colleges or universities shelling out to do this, but I do think it's a great idea that would probably help quite a bit of students.

    The stimulus funds they are referring to is the funds universities got from the Higher Education Emergency Relief Fund grant program. One thing the guidance specifically mentions is that the funds would only be available for "institutional debts". I'm not too well versed that how universities work in that regard but I assume that means the funds would only be able to be used towards that specific university or college, not any outside loans.

    Either way, this is a great step towards relieving some student loans for many people who need it.

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    That's great news, but I would have liked for them to go a step further and make it mandatory they use at least part of the funds to directly help students. It seems that universities are given too much leeway when it comes to what to do with the money.