Education Secretary Betsy DeVos on Tuesday rolled back an Obama administration attempt to reform how student loan servicers collect debt.

Last year, under the Obama administration, memos were issued to assist borrowers of student loans from the government’s Federal Student Aid office with their debt. The Federal Student Aid office services $1.1 trillion in government owned loans. This year DeVos formally withdrew the Obama memos. 

As per DeVos, the older approach had shortcomings, but she did not go in to detail on how the memos fell short. She did, however, state that not ikmplwmemting the changes could save money. No comments have been gathered from DeVos nor her spokesmen. 

A week ago letters were sent to the House and Senate appropriations committees where it was expressed that there were too many unanswered questions regardingif the Obama administration’s initiative would be too expensive. 

The Obama initiatives came about in the administration’s last days as there was amn epidemic of student loan defaults. The FSA office was forced to focus on how debtors are treated. There was an effort to stop companies that mislead or harm debtors. This remains a challenge as Navient Corp is amongst 3 other companies vying to obtain student loan contracts starting in 2019. State  general, along with the U.S. Consumer Financial Proty Bureau, sued Naviant where they alleged the company took shortcuts to boost its bottom line which also took advantage of borrowers. With the withdrawal of the Obama memos Naviant could become the new contract holder. 

In a statement Tuesday, Illinois Attorney General Lisa Madigan, who is suing Navient, agreed: “The Department of Education has decided it does not need to protect student loan borrowers.” 

The federal government, under the Obama administration’s memos, would have had to pay more to loan contractor as well as provide counseling on repayment options. As it stands, $800 million is spent annually in order to collect on tghe $1.1 trillion debt. 

During Obama’s term 8.7 million Americans defaulted on their student loans. Now the DeVos has asked for true reverse it seems the Trumpo administration places the needs of loan contractorsa above those of student debtors. 

DeVos’s move “will certainly increase the likelihood of default,” said David Bergeron, a senior fellow at the Center for American Progress, a Washington think tank with close ties to Democrats. Bergeron worked under Democratic and Republican administrations over more than 30 years at the Education Department. He retired as the head of postsecondary education.

In a statement Tuesday, Illinois Attorney General Lisa Madigan, who is suing Navient, agreed: “The Department of Education has decided it does not need to protect student loan borrowers.”