Trump alarms with another major move poised to devastate his own base: experts

President Donald Trump's administration faced fierce backlash Thursday after announcing a new regulation that potentially limits who qualifies for public service loan forgiveness, the flagship program that allows people to have student loans wiped out if they work in certain public service jobs for a required amount of time.

The new rule, as outlined by the Department of Education and set to take effect next year, "amends the definition of a 'qualifying employer' to 'exclude organizations that engage in unlawful activities such that they have a substantial illegal purpose, including supporting terrorism and aiding and abetting illegal immigration,'" according to Newsweek — and grants authority to the Secretary of Education to determine which employers fail this criteria.

"Around 9 million borrowers are potentially eligible for PSLF, based on a 2022 estimate from Protect Borrowers, a nonprofit focused on student loans," Newsweek reported.

However, a consortium of medical trade groups including the American Academy of Family Physicians, the American Academy of Pediatrics, and the American Psychiatric Association, came out sharply condemning the new rule, warning in a post on X that it could be a huge obstacle to recruiting medical professionals in rural areas — which would potentially include a number of areas that backed Trump in the 2024 election.

“The AAFP and leading physician groups are alarmed by the Dept. of Education’s final rule on the PSLF program, which undermines a vital pathway that has enabled thousands of physicians to serve rural and underserved communities,” said the statement. "PSLF is not just a loan program; it is a lifeline that allows medical graduates to choose primary care or psychiatry careers in high-need areas without being weighed down by insurmountable debt."

Prior to Trump, the Biden administration adopted as broad a view as possible of PSLF in response to the Supreme Court ruling that he could not issue blanket student loan forgiveness to all borrowers below a certain income level.

Some commentators defended the new regulation, including Preston Cooper of the right-wing American Enterprise Institute, who argued, "The regulation defines 'substantial illegal purpose' narrowly — we're just talking about clear violations of federal or state law. And borrowers can get PSLF credit for qualifying payments made *before* their employer is determined to be a crimebag."