{"id":28841,"date":"2022-02-16T23:56:41","date_gmt":"2022-02-16T23:56:41","guid":{"rendered":"https:\/\/cjstudents.com\/?p=28841"},"modified":"2022-02-16T23:56:41","modified_gmt":"2022-02-16T23:56:41","slug":"education-department-to-erase-415-million-in-student-loan-debt-for-nearly-16000-borrowers","status":"publish","type":"post","link":"https:\/\/cjstudents.com\/index.php\/2022\/02\/16\/education-department-to-erase-415-million-in-student-loan-debt-for-nearly-16000-borrowers\/","title":{"rendered":"Education department to erase $415 million in student loan debt for\u00a0nearly 16,000 borrowers"},"content":{"rendered":"<p> [ad_1]<\/p>\n<div property=\"content:encoded\">\n<p><span data-contrast=\"auto\">Thousands of students have filed fraud complaints against their university or college and now many are set to have their student loan debts erased as the U.S. Department of Education approved $415 million in borrower defense claims.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The <\/span><a target=\"_blank\" href=\"https:\/\/www.ed.gov\/news\/press-releases\/education-department-approves-415-million-borrower-defense-claims-including-former-devry-university-students\" rel=\"noopener\"><span data-contrast=\"none\">U.S. Department of Education<\/span><\/a><span data-contrast=\"auto\">\u00a0announced Wednesday that nearly 16,000 student borrowers will receive $415 million in borrower defense, a legal provision that promises loan relief for defrauded borrowers, after it found multiple schools misled students. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Devry University was found to have misrepresented its job placement rates, alongside new findings related to Westwood College, the nursing program at ITT Technical Institute, and the criminal justice programs at Minnesota School of Business\/Globe University and Corinthian Colleges.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Approximately 1,800 former DeVry University students will get about $71.7 million in full borrower defense discharges after the Department found the school made widespread, substantial misrepresentations about its job placement rates\u2014and that number is expected to grow as the department continues to review outstanding claims from former DeVry students.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cThe Department remains committed to giving borrowers discharges when the evidence shows their college violated the law and standards. Students count on their colleges to be truthful. Unfortunately, today\u2019s findings show too many instances in which students were misled into loans at institutions or programs that could not deliver what they\u2019d promised,\u201d <\/span><span data-contrast=\"none\">said Miguel Cardona, U.S. Secretary of Education, in a statement.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">From 2008 to 2015, DeVry advertised that 90 percent of its graduates who actively seek employment got jobs in their field of study within six months of graduation. The Department found that to be false and that DeVry\u2019s actual job placement rate was around 58 percent, as more than half of the jobs included in the claimed 90 percent placement rate were held by students who got a job well before graduating from DeVry and before they had even enrolled at the school.<\/span><\/p>\n<hr\/>\n<p><strong><span data-contrast=\"none\">America is changing faster than ever!<\/span><\/strong> <strong><span data-contrast=\"none\">Add Changing America to your <\/span><\/strong><a target=\"_blank\" href=\"https:\/\/www.facebook.com\/ChangingAmerica\/\" rel=\"noopener\"><strong><span data-contrast=\"none\">Facebook<\/span><\/strong><\/a><strong><span data-contrast=\"none\"> or <\/span><\/strong><a target=\"_blank\" href=\"https:\/\/twitter.com\/changingamerica\" rel=\"noopener\"><strong><span data-contrast=\"none\">Twitter<\/span><\/strong><\/a><strong><span data-contrast=\"none\"> feed to stay on top of the news.<\/span><\/strong><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<hr\/>\n<p><span data-contrast=\"auto\">The department also noted that DeVry excluded the large number of students who were actively looking for work but weren\u2019t conducting their job search in a way that the University\u2019s Career Services department preferred.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">On top of all that, the department found that senior DeVry officials knew the 90 percent job placement rate was problematic for years, partly due to concerns about its accuracy that were raised by alumni.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">DeVry has been in hot water before over its disputed 90 percent job placement rate, as well as advertising that graduates with bachelor\u2019s degrees from DeVry on average had 15 percent higher incomes one year after graduation than graduates with bachelor\u2019s degrees from all other colleges and universities.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">That prompted\u00a0lawsuits by former students against the university and eventually in 2016 the <\/span><a target=\"_blank\" href=\"https:\/\/www.ftc.gov\/news-events\/press-releases\/2016\/12\/devry-university-agrees-100-million-settlement-ftc?utm_content=&amp;utm_medium=email&amp;utm_name=&amp;utm_source=govdelivery&amp;utm_term=\" rel=\"noopener\"><span data-contrast=\"none\">Federal Trade Commission<\/span><\/a><span data-contrast=\"auto\"> (FTC) reached a $100 million settlement with DeVry, which included $49.4 million to be paid in cash to qualifying students who were harmed by the deceptive claims and $50.6 million in additional debt relief.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Misleading claims by universities appeared to be a trend, as the department said that Westwood College also made substantial misrepresentations to students about their salary potential and likelihood of finding a job after graduation. The college also made misleading claims about the ability to transfer credits and that students in its criminal justice program in Illinois would be able to find jobs as police officers. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">ITT Technical Institute (ITT) was found to have misled prospective students about its programmatic accreditation of the\u00a0associate degree in nursing program, telling students that the nursing program had already or would shortly obtain accreditation. That plays a big role in students\u2019 ability to get a nursing job, but ITT failed to meet standards to obtain the necessary programmatic accreditation for years.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Minnesota School of Business and\/or Globe University were found to be in a similar situation, with the department reporting the school had committed fraud when it told students that its criminal justice programs would allow them to become a Minnesota police officer or parole\/probation officer. In reality, the programs lacked the necessary accreditation and certification, making it impossible for students to get those types of jobs.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This is likely not the last time the department will act on behalf of defrauded students, as it currently faces <\/span><a target=\"_blank\" href=\"https:\/\/predatorystudentlending.org\/cases\/sweet-v-devos\/\" rel=\"noopener\"><span data-contrast=\"none\">Sweet v. Cardona<\/span><\/a><span data-contrast=\"auto\">, a lawsuit that was initiated under former President Trump. Over 200,000 former students moved to have their federal student loans discharged after they believe their for-profit colleges made false promises to students regarding high-paying jobs, state-of-the-art vocational training and long and fulfilling careers.<\/span><\/p>\n<hr\/>\n<p><strong><span data-contrast=\"none\">READ MORE STORIES FROM CHANGING AMERICA<\/span><\/strong><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/thehill.com\/changing-america\/well-being\/longevity\/594307-just-20-minutes-of-daily-exercise-at-70-could-stave-off\" rel=\"noopener\"><strong><span data-contrast=\"none\">JUST 20 MINUTES OF DAILY EXERCISE AT 70 COULD STAVE OFF MAJOR HEART DISEASE: STUDY<\/span><\/strong><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:0,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/thehill.com\/changing-america\/sustainability\/environment\/594277-fears-of-avocado-shortage-rise-after-import-ban\" rel=\"noopener\"><strong><span data-contrast=\"none\">FEARS OF AVOCADO SHORTAGE RISE AFTER IMPORT BAN<\/span><\/strong><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/thehill.com\/changing-america\/well-being\/prevention-cures\/594259-we-need-to-define-when-a-pandemic-becomes\" rel=\"noopener\"><strong><span data-contrast=\"none\">WE NEED TO DEFINE WHEN A PANDEMIC BECOMES ENDEMIC<\/span><\/strong><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/thehill.com\/changing-america\/respect\/equality\/594306-lgbtq-group-slams-floridas-dont-say-gay-bill-in-new-ad\" rel=\"noopener\"><strong><span data-contrast=\"none\">LGBTQ+ GROUP SLAMS FLORIDA\u2019S \u2018DON\u2019T SAY GAY\u2019 BILL IN NEW AD<\/span><\/strong><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/thehill.com\/changing-america\/sustainability\/climate-change\/594209-only-one-reliable-host-city-will-be-left-for\" rel=\"noopener\"><strong><span data-contrast=\"none\">ONLY \u2018ONE RELIABLE HOST CITY\u2019 WILL BE LEFT FOR WINTER OLYMPICS IF GLOBAL EMISSIONS ARE NOT CURBED: STUDY<\/span><\/strong><\/a><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/thehill.com\/changing-america\/enrichment\/education\/594626-education-department-to-erase-415-million-in-student\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] Thousands of students have filed fraud complaints against their university or college and now&#8230;<\/p>\n","protected":false},"author":1,"featured_media":28842,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":["post-28841","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-learningtheory"],"_links":{"self":[{"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/posts\/28841","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/comments?post=28841"}],"version-history":[{"count":1,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/posts\/28841\/revisions"}],"predecessor-version":[{"id":28843,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/posts\/28841\/revisions\/28843"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/media\/28842"}],"wp:attachment":[{"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/media?parent=28841"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/categories?post=28841"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cjstudents.com\/index.php\/wp-json\/wp\/v2\/tags?post=28841"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}