News
Statement on The Department of Education Settlement Resulting in Closure of For-Profit School Florida Career College
The U.S. Department of Education today announced a settlement agreement with for-profit school owner International Education Corporation (IEC) and its subsidiaries—Florida Career College (FCC) and United Education Institute (UEI), which also uses the brand name, UEI College (UEIC)—related to violations of the ability-to-benefit (ATB) test regulations. These regulations govern eligibility to receive federal student aid for students who do not have a high school diploma or GED equivalent.
STATEMENT on Navient Outsourcing Student Loan Servicing to MOHELA
BOSTON – Navient announced that it will outsource student loan servicing for its $17 billion portfolio to loan servicer MOHELA. The Project on Predatory Student Lending represents more than one million student borrowers across the country. Many of these borrowers hold private student loans with Navient for predatory for-profit schools, even after their federal loans from those same schools have been canceled due to the schools' misconduct.
Statement: Project on Predatory Student Lending Welcomes New Director of Litigation
The Project on Predatory Student Lending (PPSL), the leading nonprofit legal organization representing borrowers defrauded by predatory colleges, announced that Noah Zinner has joined the team this month as PPSL’s Director of Litigation. In this executive team role, Zinner will oversee PPSL’s overall legal strategy and team of attorneys.
Delivering results for student borrowers
As we close out 2023, we look back at a year of delivering billions of dollars of loan relief for our clients and taking on the most pressing issues they face through impact litigation and advocacy. Here are a few highlights. We couldn’t have done it without your support.
STATEMENT on Department of Education Fining Grand Canyon University $37M for Misrepresenting Online Graduate Programs
Today, the Department of Education announced a $37.7 million fine against Grand Canyon University (GCU) for lying to more than 7,500 former and current students over several years about the cost of its doctoral programs. The school falsely advertised a lower cost than what 98% of students ended up paying to complete certain doctoral programs.
Colleges Confounded by Flood of Borrower-Defense Claims | Inside Higher Ed
In the borrower-defense program, the agency can grant relief if students were misled about their educational program or loan by their institution and harmed by it.
STATEMENT: Select University of Phoenix Students Secure Borrower Defense Win with ED Discharge
In another victory for defrauded former for-profit college students, today the U.S. Department of Education announced that it would approve nearly $37 million in borrower defense to repayment discharges for more than 1,200 students who enrolled at the University of Phoenix between Sept. 21, 2012, and Dec. 31, 2014, and applied for relief.
Federal Student Loan Servicer MOHELA is Failing to Comply with Borrower Defense Settlement
Borrowers report MOHELA informed them their federal student loans, which were ordered discharged under the Sweet settlement agreement, will go into repayment in October
New Borrower-Defense Rules Blocked | Inside Higher Ed
Debt relief and consumer protection advocates criticized the appeal court’s decision. “This unexplained order from the Fifth Circuit is a gift to those who wish to operate predatory education schemes with impunity,” said Eileen Connor, president and director of the Project on Predatory Student Lending.