Which college loan programs have been suspended for default?
Student loans that have been cancelled due to default will no longer be eligible for the federal student loan forgiveness program.
The government will no more be able to forgive federal student loans for the duration of the suspension.
The announcement comes just days after a series of defaults, including the one at Corinthian Colleges.
The program has a cap of $5,000, but borrowers can make payments over that amount.
The Department of Education said it will now provide $300 per student loan borrower for the first three months of suspension.
The news comes just hours after The Associated Press reported that more than 300,000 Corinthian students were defaulting on their federal loans.
Corinthian has also faced scrutiny from the Justice Department.
Corinthio told the AP that the suspension will help it “avoid further potential liabilities.”
Corinthian and other companies in the Corinthian deal are among the largest in the country with tens of millions of dollars in loans.
The AP said Corinthian also is facing a class-action lawsuit.