Nancy Sarnoff
Wed, June 16, 2021, 9:17 PM·4 min read
Biden just canceled hundreds of millions in student loan debt — do you qualify?
The Biden administration has announced it's wiping away hundreds of millions of dollars in student loan debt for borrowers who said they got ripped off by their school.
This latest wave of debt forgiveness comes on top of at least $2.3 billion in student loans that the Department of Education canceled earlier this year. Those borrowers now have more room in their budgets to save, invest or get a handle on their other debts.
As millions of Americans wait for word on whether President Joe Biden will provide massive student loan forgiveness, here's a look at whether you might be covered by the new action.
The fresh debt forgiveness is going to students who attended ITT Technical Institute and made claims against the school for misrepresentation or deceit, the Education Department announced Wednesday. ITT, a for-profit technical school that operated campuses across the U.S., closed in 2016.
Eligible borrowers will receive 100% loan discharges, totaling about $500 million. Claims from some 18,000 students have been approved, the department says.
"Our action today will give thousands of borrowers a fresh start and the relief they deserve after ITT repeatedly lied to them," Education Secretary Miguel Cardona says in a news release.
Officials found that the school misrepresented how much students could expect to earn and the types of jobs they could land after graduation. In reality, borrowers told the department that having ITT on their resumes made it harder to find employment.
Source : https://finance.yahoo.com/news/biden-just-canceled-hundreds-millions-172700191.html
Wed, June 16, 2021, 9:17 PM·4 min read
Biden just canceled hundreds of millions in student loan debt — do you qualify?
The Biden administration has announced it's wiping away hundreds of millions of dollars in student loan debt for borrowers who said they got ripped off by their school.
This latest wave of debt forgiveness comes on top of at least $2.3 billion in student loans that the Department of Education canceled earlier this year. Those borrowers now have more room in their budgets to save, invest or get a handle on their other debts.
As millions of Americans wait for word on whether President Joe Biden will provide massive student loan forgiveness, here's a look at whether you might be covered by the new action.
The fresh debt forgiveness is going to students who attended ITT Technical Institute and made claims against the school for misrepresentation or deceit, the Education Department announced Wednesday. ITT, a for-profit technical school that operated campuses across the U.S., closed in 2016.
Eligible borrowers will receive 100% loan discharges, totaling about $500 million. Claims from some 18,000 students have been approved, the department says.
"Our action today will give thousands of borrowers a fresh start and the relief they deserve after ITT repeatedly lied to them," Education Secretary Miguel Cardona says in a news release.
Officials found that the school misrepresented how much students could expect to earn and the types of jobs they could land after graduation. In reality, borrowers told the department that having ITT on their resumes made it harder to find employment.
Source : https://finance.yahoo.com/news/biden-just-canceled-hundreds-millions-172700191.html
