What Happens to the FAFSA and Student Loans if the Department of Education Shuts Down?

It looks like federal student loans, including the FAFSA, could end up being managed by the Small Business Administration after US President Donald Trump signed an executive order last week to begin shutting down the federal Department of Education. Trump announced that the SBA would "immediately" begin handling the entire federal student loan portfolio, one day after press secretary Karoline Leavitt told reporters that student loans and Pell Grants would still be run out of the Department of Education. Education Secretary Linda McMahon echoed Trump's sentiments during an interview with CNN on Sunday. "[Student loans] would be going to the Small Business Administration," McMahon said. "There's not going to be any defunding." One critical function of the department is the administration of federal student financial aid like grants and student loans. If the Department of Education is closed, what does that mean for the Free Application for Federal Student Aid, or FAFSA? Actions by th ... Read full article.