Borrower Defense: Can the School Respond?

Estimated reading time: 1 minute

If you believe your school misled you, borrower defense may offer federal loan relief. Eligibility depends on the loan and the applicable rules.

Understand school notification

In March 2026 guidance, the Department of Education says that under the 1994 and 2016 borrower-defense regulations it sends the application to the school before substantive review. The school may respond, but its silence does not mean your claim is approved.

The Department reviews the evidence under the applicable standard. The guidance describes different rules; do not assume this notification explanation covers every application.

Prepare a focused record

Keep the school’s statements, dates and relevant documents. Note why you believe the information was misleading and how it affected your decision. A claim is not a discharge decision.

Federal servicer guidance describes potential relief for eligible Direct Loans. Check the Department’s current application instructions and ask about payment obligations while a claim is pending. This is general education, not an eligibility decision.