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Repayments cannot be adjusted based on income, and borrowers who are unemployed or facing other financial hardships are given few breaks.New Jersey’s loans also carry higher interest rates than similar federal programs.Chris Christie said the governor does not control the authority and declined to respond to questions about the loan program.But Christie appointed its executive director, Gabrielle Charette; he also has the power to appoint at least 12 of the agency’s 18 board members and can veto any action taken by the board.

Some states, like California, decided to downsize and transferred their federal loan portfolios.“Please accept our condolences on your loss,” said a letter from the Higher Education Student Assistance Authority to De Oliveira-Longinetti, who had co-signed the loans.“After careful consideration of the information you provided, the Authority has determined that your request does not meet the threshold for loan forgiveness.Interviews with dozens of borrowers, who were among the tens of thousands who have turned to the program, show how the loans have unraveled lives.The program’s regulations have destroyed families’ credit and forced them to forfeit their salaries.

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