Student loans have not been canceled after 6 years

They waited for the cancellation of the student loan, even though they qualified 6 years ago.

Here’s what you need to know — and what it means for your student loans.

Student loans

A group of student borrowers have filed a major new lawsuit against the US Department of Education, alleging they were wait six years to get student loan forgiveness.

Student Loan Forgiveness: The Allegations

  • In November 2016, the Illinois Attorney General filed a class borrower’s defense against a refund claim with the U.S. Department of Education on behalf of defrauded students who attended Westwood College’s criminal justice program in Illinois.
  • Borrower defense of repayment is a strategy to get your student loan forgiveness for your federal student loans if your college or university has closed or misled you.
  • After filing the group petition, the State of Illinois and Westwood reached an agreement to cancel institutional student loans. However, the settlement did not include federal student loans held by the US Department of Education.
  • Student borrowers claim they are eligible for student loan discharge.
  • However, the Department of Education never endorsed its student loan borrower defense to repayment claims, which hurt hundreds or thousands of student loan borrowers who should have been given a waiver. student loan.
  • These student borrowers are requesting full forgiveness of their federal student loans through their student loan discharge.

“For nearly six years, in every jurisdiction, the Department has shied away from its obligations, leaving countless borrowers in the dark as to whether or not they will receive the relief due to them under federal law,” said Eric Rothschild, director of student defense litigation. “The Department has what it takes to free borrowers from financial limbo and give them a well-deserved fresh start. It is no longer time for them to act accordingly.

Cancellation of student loan: the Ministry of Education has canceled some student loans

The Department of Education has approved at least one student loan forgiveness for student borrowers who attended Westwood. For example, Education approved $53 million in student loan forgiveness for 1,600 student borrowers who attended Westwood. From 2002 until its closure in 2015, the Department of Education found that all of Westwood’s campuses engaged in widespread misrepresentation about students’ ability to transfer credits to other colleges and universities. From 2004 to 2015, the Department of Education found that Westwood misrepresented to students that his criminal justice program would lead to police careers in Illinois, specifically in Chicago. However, the Chicago Police Department would not accept Westwood credits in its hiring process.

“Westwood tricked students into participating in his criminal justice program by deceiving them about their chances of getting jobs as police officers after graduation,” the Illinois attorney general said. Kwame Raoul. “I urge the Department of Education to provide justly due relief to students who have taken out federal loans in good faith in the hope of being offered a reasonable opportunity for a career in law enforcement.”

How to Get Student Loan Forgiveness Through Borrower Defense Until Repayment

President Joe Biden has forgiven more than $17 billion in student loans since becoming president. This includes $2.1 billion in student loan forgiveness for 132,000 student borrowers under borrower defense until repayment. To apply for Borrower Defense Until Repayment, contact your studenet loan servicer or apply directly online. To qualify for student loan forgiveness, your college or university must have closed while you were enrolled or shortly after you withdrew. Alternatively, your college or university must have misled you in violation of the law.

As the restart of federal student loans approaches, it is imperative that you educate yourself about your student loan repayment options. There are many options, including student loan forgiveness. Here are some ways student borrowers are repaying their student loans and saving money:

Student Loans: Related Reading

Navient agrees to forgive $3.5 million in student loans

How to qualify for $17 billion in student loan forgiveness

Bill Maher: Student Loan Forgiveness Is A ‘Loser’ Matter

Education Secretary suggests student loan repayments will resume

Comments are closed.