Recently, there has been talk of President Trump wanting to shut down the Department of Education. It will need to be approved by Congress first, but if it is shut down it will cause many problems. Things like loans, money for schools, and the special education program will all be at risk if the department closes.
The Department of Education is responsible for promoting student achievement and allowing students of different ages and races equal opportunity to get the best education possible. The department oversees around 100,000 public schools and 34,000 private schools in the United States. It provides federal grants for schools and programs, including paying teachers for special needs children, art programs, and rebuilding infrastructure.
Revenue for student loans cost the government $197 billion. It is estimated that the Department of Education will bring in around $114 billion for the federal government from student loans. However, the GAO, or Government Accountability Office, found out in 2021 that the department costs the government $197 billion. This is a $311 billion dollar difference in the estimated totals.
Closing down the department will cause many issues. One concern that people have is what will happen to the special education programs. If the department shuts down, the special education program will be left up completely to the States. This will have a major impact on the kids, leaving the most vulnerable students at risk.
This will also cause a shift in student loans. Around 42.7 million students have federal loans. If the Department of Education shuts down, student loans won’t be paid back to this department. There is talk that loans will be moved over to the Department of Treasury or the Internal Revenue Service which would only change where students will pay their money back to, but nothing has been confirmed yet.
Overall, the closing of the Department of Education is not official yet. If it does shut down though there will be many consequences such as student loans getting moved to a new department, the special education program being left completely up to the states, and the funding the government gives out to schools will severely decrease.
Works Cited
Brink, Meghan. The True Cost of Federal Student Loans. Meghan Brink, 2022. The True Cost of Federal Student Loans, https://www.insidehighered.com/news/2022/07/31/gao-finds-government-has-underestimated-cost-student-loans#:~:text=The%20Education%20Department%20projected%20that,billion%2C%20a%20%24311%20billion%20difference.
Hanson, Melanie. Student Loan Debt Statistics. Melanie Hanson, 2025. Student Loan Debt Statistics, https://educationdata.org/student-loan-debt-statistics.
Haverstock, Eliza. With education department under threat, what can student loan borrowers do? Eliza Haverstock, 2025. With education department under threat, what can student loan borrowers do?, https://www.kget.com/national-news/with-education-department-under-threat-what-can-student-loan-borrowers-do/#:~:text=If%20the%20Education%20Department%20does,(IRS)%2C%20Akers%20says.
Reuters. US Department of Education: Budget, employees and why Trump wants it shut down. Reuters, 2025. US Department of Education: Budget, employees and why Trump wants it shut down, https://www.reuters.com/world/us/us-department-education-budget-employees-why-trump-wants-it-shut-down-2025-02-19/.
Wood, Sarah, and Cole Claybourn. What Happens if the Education Department Is Dissolved? Sarah Wood and Cole Claybourn, 2025. What Happens if the Education Department Is Dissolved?, https://www.usnews.com/education/best-colleges/articles/what-happens-if-the-education-department-is-dissolved#:~:text=%E2%80%9CThere’s%20a%20reason%20we%20have,have%20to%20replace%20that%20money.
