Trump’s ex-student loan chief funds lawsuit accusing Education Dept. of illegal credit reporting

Bryant Willis
Thu, 06 Nov 2025 10:51:00 -0500

PoliticoPro

By Michael Stratford

Published 10/30/2025 08:22 PM EDT|Updated 10/31/2025 12:29 PM EDT

The lawsuit was filed on behalf of a proposed class of more than 5 million student loan borrowers and seeks more than $500 billion in damages.

The Trump administration and the nation’s largest credit bureaus are illegally damaging the credit reports of millions of student loan borrowers who default on their debt, according to a new lawsuit funded by President Donald Trump’s former student loan chief.

The proposed class-action lawsuit, filed this week in federal court in Atlanta, accuses the Education Department of unfairly and inaccurately reporting millions of federal student loans to credit bureaus in violation of the Fair Credit Reporting Act.