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Student Borrowers File New Brief in Lawsuit Regarding Borrower Defense Delays and Backlog | Press Release
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Student Borrowers File New Brief in Lawsuit Regarding Borrower Defense Delays and Backlog | Press Release

Today, student borrowers submitted a new filing in the lawsuit Sweet v. Cardona regarding the U.S. Education Department’s ongoing delays in processing borrower defense claims. The filing follows Judge William Alsup’s request for a status update as to what is taking so long to resolve the claims. Several borrowers have written directly to Judge Alsup in recent months seeking answers.

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Department of Education to cancel $415 million in student loan debt | MarketWatch
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Department of Education to cancel $415 million in student loan debt | MarketWatch

Roughly 16,000 borrowers who were scammed by their schools will have their federal student loans discharged, resulting in $415 million in relief, the Department of Education announced Wednesday. The borrowers receiving relief attended four for-profit colleges that the agency found misled students in the process of luring them into enrolling and taking on debt to pay for school.

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Education Department’s Student Loan Discharges Represent Only 6% of Unresolved Borrower Defense Claims | Press Release
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Education Department’s Student Loan Discharges Represent Only 6% of Unresolved Borrower Defense Claims | Press Release

Today, the U.S. Department of Education announced that it will cancel $415 million in federal student loans for approximately 16,000 borrowers, including former students of the for-profit colleges ITT Tech, Corinthian Colleges, DeVry University, Westwood College, Marinello Schools of Beauty, and Minnesota School of Business/Globe University. The Department described its findings as “instances in which students were misled into loans at institutions or programs that could not deliver what they’d promised.”

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DeVry University misled students. Now, the federal government is erasing their debt | NPR
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DeVry University misled students. Now, the federal government is erasing their debt | NPR

Nearly 16,000 federal student loan borrowers who were misled by for-profit colleges will have $415 million in debts erased, according to the U.S. Department of Education. These borrowers — who attended DeVry University, ITT Technical Institute and other schools — will receive relief through a legal provision known as borrower defense, which promises loan relief for defrauded borrowers.

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Biden Administration Approves $415 Million In New Student Loan Forgiveness Under Troubled Program: Key Details | Forbes
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Biden Administration Approves $415 Million In New Student Loan Forgiveness Under Troubled Program: Key Details | Forbes

The U.S. Department of Education on Wednesday announced that it had approved $415 million in new student loan forgiveness for borrowers defrauded by their schools. “The Department remains committed to giving borrowers discharges when the evidence shows their college violated the law and standards,” said U.S. Secretary of Education Miguel Cardona in a statement. “Students count on their colleges to be truthful. Unfortunately, today’s findings show too many instances in which students were misled into loans at institutions or programs that could not deliver what they’d promised.”

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