Student loan oversight, college accountability, and new federal policy debates dominated higher-education headlines this week. A government watchdog warned that millions of borrowers could face billing errors after federal oversight of loan servicers was scaled back, while states and the federal government are battling over new college data rules.
Meanwhile, the White House is weighing new action on college athletics compensation, and federal officials are defending stricter accountability rules tied to student loan outcomes.
Here’s a quick look at the most important stories shaping higher education and student finances this week for March 13, 2026.
🎓 Headlines at a Glance
- Watchdog report warns oversight of student loan servicers has been reduced.
- States sue the federal government over new admissions data reporting rules.
- White House considers executive action on college sports and NIL payments.
- Federal officials defend stricter accountability rules tied to student loan outcomes.
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1. Oversight of Student Loan Servicers Reduced, Watchdog Says
A new government watchdog report found that the U.S. Department of Education significantly reduced oversight of student loan servicers after staffing cuts within the federal student aid office.
According to the report, the department stopped monitoring calls between borrowers and servicers and halted routine checks of borrower data accuracy in early 2025. These reviews were previously used to ensure servicers were providing accurate information and properly managing accounts.
The Government Accountability Office warned that without these safeguards, millions of borrowers could face billing mistakes or incorrect account information as repayment systems change.
➡️ Impact: Servicers handle billing, repayment options, and account updates for federal borrowers. Reduced oversight could increase confusion and errors during an already complicated repayment transition.
2. States Sue Over New College Data Reporting Rules
A coalition of state attorneys general filed a lawsuit challenging a new federal requirement that colleges submit detailed admissions data (including information on applicants’ race, test scores, and academic records) covering several years.
Harvard is already challenging this request in another lawsuit.
States argue the rule creates administrative burdens and raises privacy concerns, while federal officials say the data will help enforce civil rights laws and ensure fair admissions practices.
➡️ Impact: If the policy survives legal challenges, colleges may face expanded reporting requirements that affect compliance costs and admissions transparency.
3. White House Considers Action on College Athlete Compensation
President Donald Trump said the White House is considering an executive order addressing name-image-likeness (NIL) compensation for college athletes.
The proposal follows a meeting with university leaders and sports executives as federal officials explore ways to bring consistency to the rapidly evolving college sports landscape.
➡️ Impact: Changes to NIL rules could reshape how universities fund athletics programs and compensate student-athletes — potentially affecting scholarships and athletic department finances.
4. Federal Officials Defend Stricter Student Loan Accountability Rules
In a new opinion piece, Education Secretary Linda McMahon defended new policies that would limit student loan eligibility for programs whose graduates earn less than high-school graduates. The reforms aim to ensure taxpayer-backed loans support programs with strong economic outcomes.
➡️ Impact: Programs that fail earnings benchmarks could lose access to federal student loans, potentially reshaping academic offerings.
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Editor: Colin Graves
Robert Farrington is the founder of The College Investor and is widely recognized as one of the nation’s leading voices on student loan debt and saving for college. He holds an MBA from UC San Diego Rady School of Management and has spent over 15 years researching, writing, and advising on student loans, 529 plans, financial aid programs, and saving and investing for young professionals.
Robert has been featured in the The New York Times, The Wall Street Journal, The Washington Post, NBC News, and Forbes, where he has been a regular personal finance contributor for over a decade. His work combines both professional expertise and personal experience – he successfully navigated his own student loan repayment journey and has helped thousands of readers do the same.
He is committed to making the intersection of personal finance and education transparent and accessible. You can learn more about Robert on the About Page or on his personal site RobertFarrington.com.