if you’re one of the many students who graduated from a for-profit college that closed down after you completed your degree, you may be eligible to qualify for student loan forgiveness.
Over the last several years, over $1 billion in student loan debt has been forgiven for students who attended for-profit colleges.
However, figuring out if you qualify can be challenging
In this article, we’ll explain the different programs available to you that offer college loan forgiveness. So don’t give up – there is help available!
For-Profit Colleges Suddenly Closing
It’s a college student’s worst nightmare: your college suddenly closes and you’re stuck with a pile of debt and no degree. Unfortunately, this scenario is becoming all too common.
In recent years, a number of for-profit colleges have closed their doors, leaving tens of thousands of students scrambling to find a new school. The reasons for these closures vary, but they often come down to financial mismanagement or regulatory problems.
Whatever the cause, the results are always the same: students are left stranded and faced with the prospect of starting their education all over again. While for-profit colleges can offer some advantages, such as flexible schedules and accelerated programs, the risks may not be worth it.
Before enrolling in any college, be sure to do your research to ensure that you’re making a wise investment in your future.
Closed For-Profit Colleges Legal Problems
For-profit colleges have come under intense scrutiny for their illegal tactics. In many cases, these colleges have closed without providing any notice to students or employees.
This has left thousands of people stranded without a college degree and saddled with debt. In addition, for-profit colleges have been known to use deceptive marketing practices to lure students into enrolling.
They often promise high-paying jobs and unrealistic success rates, only to leave students with mountains of debt and few job prospects.
As a result, many for-profit colleges are facing lawsuits and investigations from state and federal agencies. It is clear that these colleges are not looking out for the best interests of their students.
My College Closed After I Graduated Loan Forgiveness Options
When college students take out loans, they do so with the expectation that they will be able to find a job after graduation that will enable them to pay off their debt.
However, sometimes things don’t go as planned. For students who attended Corinthian Colleges, this has been all too true.
After the college closed suddenly, leaving students stranded and without a degree, many have struggled to find work that pays enough to cover their loan payments. As a result, many have fallen behind on their debt, and their credit scores have suffered.
Closed For-Profit Colleges Lawsuit Settlement
Hundreds of thousands of students who attended the for-profit Corinthian Colleges chain will get their federal student loans canceled, the Biden administration announced Wednesday, in a move that aims to bring closure to one of the most notorious cases of fraud in American higher education.
Under the new action, anyone who attended the now-defunct chain from its founding in 1995 to its collapse in 2015 will have a chance to get college loan forgiveness. This will erase $5.8 billion in debt for more than 560,000 borrowers, which according to the agency, will be the largest single loan discharge in Education Department history.
For-Profit College Student Loan Forgiveness List
Note: Not all students for all years/schools will qualify. You still must meet the criteria for either borrower defense or closed school discharge. However, for some schools, all borrowers will qualify.
Alta Colleges, Inc. (Westwood)
- Westwood College
American Commercial Colleges, Inc.
- American Commercial College
American National University
- American National University
Ana Maria Piña Houde and Marc Houde
- Anamarc College
Anthem Education Group (InternationalEducation Corporation)
- Anthem College
- Anthem Institute
- University of Phoenix
- Western International University
- ATI Career Training Center
- ATI College
- ATI College of Health
- ATI Technical Training Center
B&H Education, Inc.
- Marinello School of Beauty
Berkeley College (NY)
- Berkeley College
- Ashford University
- University of the Rockies
Capella Education Company (StrategicEducation, Inc.)
- Capella University
Career Education Corporation
- American InterContinental University
- Briarcliffe College
- Brooks College
- Brooks Institute
- Collins College
- Colorado Technical University
- Gibbs College
- Harrington College of Design
- International Academy of Design and Technology
- Katharine Gibbs School
- Le Cordon Bleu
- Le Cordon Bleu College of Culinary Arts
- Le Cordon Bleu Institute of Culinary Arts
- Lehigh Valley College
- McIntosh College
- Missouri College of Cosmetology North
- Pittsburgh Career Institute
- Sanford‐Brown College
- Sanford‐Brown Institute
- Brown College
- Brown Institute
- Washington Business School
- Allentown Business School
- Western School of Health and Business Careers
- Ultrasound Diagnostic Schools
- School of Computer Technology
- Al Collins Graphic Design School
- Orlando Culinary Academy
- Southern California School of Culinary Arts
- California Culinary Academy
- California School of Culinary Arts
- Pennsylvania Culinary Institute
- Cooking and Hospitality Institute of Chicago
- Scottsdale Culinary Institute
- Texas Culinary Academy
- Kitchen Academy
- Western Culinary Institute
Center for Employment Training
- Center for Employment Training
Center for Excellence in Higher Education(CEHE)
- California College San Diego
- Independence University
Corinthian Colleges, Inc.
- American Motorcycle Institute
- Ashmead College
- Blair College
- Bryman College
- Bryman Institutde
- CDI College
- Duff’s Business Institute
- Eton Technical Institute
- Everest University Online
- Everest College Phoenix
- Florida Metropolitan University
- Georgia Medical Institute
- Heald College
- Kee Business College
- Las Vegas College
- National Institute of Technology
- National School of Technology
- Olympia Career Training Instittue
- Olympia College
- Parks College
- Rochester Business Institute
- Sequoia College
- Tampa College
- Western Business College
Computer Systems Institute
- Computer Systems Institute
Court Reporting Institute, Inc.
- Court Reporting Institute
- La’ James College of Hairstyling
- La’ James International College
- American Career College
- American Career Institute
Delta Career Education Corporation
- McCann School of Business & Technology
- Miami‐Jacobs Career College
- Miller Motte Business College
- Miller‐Motte College
- Miller‐Motte Technical College
- Tucson College
- American University of the Caribbean
- Carrington College
- Chamberlain University
- DeVry College of Technology
- Devry Institute of Technology
- DeVry University
- Keller Graduate School of Management
- Ross University School of Veterinary Medicine
- Ross University School of Medicine
- Argosy University
- The Art Institute
- Brown Mackie College
- Illinois Institute of Art
- Miami International University of Art & Design
- New England Institute of Art
- South University
- Western State University College of Law
Education Affiliates (JLL Partners)
- All‐State Career School
- Fortis College
- Fortis Institute
Edudyne Systems Inc.
- Career Point College
Empire Education Group
- Empire Beauty School
Everglades College, Inc.
- Everglades University
- Keiser University
Globe Education Network
- Globe University
- Minnesota School of Business
Graham Holdings Company (Kaplan)
- Bauder College
- Kaplan Career Institute
- Kaplan College
- Mount Washington College
- Purdue University Global
Grand Canyon Education, Inc.
- Grand Canyon University
Infilaw Holding, LLC
- Arizona Summit Law School
- Charlotte School of Law
- Florida Coastal School of Law
International Education Corporation
- Florida Career College
- United Education Institute
ITT Educational Services Inc.
- ITT Technical Institute
JTC Education, Inc.
- Gwinnett College
- Medtech College
- Radians College
Laureate Education, Inc
- Walden University
Leeds Equity Partners V, L.P.
- Florida Technical College
- National University College
- NUC University
- Concorde Career College
- Concorde Career Institute
Lincoln Educational Services Corporation
- International Technical Institute
- Lincoln College of Technology
- Lincoln Technical Institute
Mark A. Gabis Trust
- Daymar College
Mission Group Kansas, Inc.
- Wright Business School
- Wright Career College
Premier Education Group L.P.
- American College for Medical Careers
- Branford Hall Career Institute
- Hallmark Institute of Photography
- Hallmark University
- Harris School of Business
- Institute for Health Education
- Micropower Career Institute
- Suburban Technical School
- Salter College
Quad Partners LLC
- Beckfield College
- Blue Cliff College
- Dorsey College
Remington University, Inc. (Remington College)
- Remington College
Southern Technical Holdings, LLC
- Southern Technical College
Star Career Academy
- Star Career Academy
Sullivan and Cogliano Training Center, Inc.
- Sullivan and Cogliano Training Centers
TCS Education System
- Chicago School of Professional Psychology
Vatterott Educational Centers, Inc.
- Court Reporting Institute of St Louis
- Vatterott College
Wilfred American Education Corp.
- Robert Fiance Beauty Schools
- Robert Fiance Hair Design Institute
- Robert Fiance Institute of Florida
- Wilfred Academy
- Wilfred Academy of Beauty Culture
- Wilfred Academy of Hair & Beauty Culture
Willis Stein & Partners (ECA)
- Brightwood Career Institute
- Brightwood College
- New England College of Business and Finance
- Virginia College
For-Profit College Loan Forgiveness Options
The closure of your college may impact your ability to repay your student loans. If you are unable to find a job in your field, you may be eligible for any of the college Loan Forgiveness programs below:
Borrowers’ defense to repayment
The US Department of Education offers a program called Borrowers’ Defense to Repayment, which may help individuals obtain college loan forgiveness for those who have been the victim of fraud by their college or university.
This program may provide relief from federal student loan debt for borrowers who have been misled, coerced, or deceived by their schools.
To be eligible for this college loan forgiveness program, borrowers must submit an application along with supporting documentation.
If approved, the borrower’s federal student loan debt may be forgiven. The borrower may also be eligible for a refund of amounts paid on the loan.
Public Service Loan Forgiveness Program (PSLF)
The Public Service Loan Forgiveness Program (PSLF) is a government program that forgives federal student loans for borrowers who work in certain public service jobs. To qualify, borrowers must make 120 qualifying monthly payments while working full-time for an eligible employer.
Once the borrower has made the required payments, the remaining balance on their loan will be forgiven. The PSLF program is designed to encourage people to enter and remain in public service jobs.
For example, teachers, nurses, and soldiers are all eligible for loan forgiveness under this program. While the requirements for PSLF can be difficult to meet, the program offers significant financial benefits for those who are able to qualify.
Income-Based Repayment Plans
There are four types of repayment plans available to federal student loan borrowers: Standard, Extended, Graduated, and Income-Based Repayment. Of these, Income-Based Repayment is the only one that is based on your income and family size.
If you have a partial financial hardship, you may be eligible for this plan. Under Income-Based Repayment, your monthly payment amount is capped at an amount that is intended to be affordable based on your income and family size.
Your payment may be as low as $0 per month, but will never exceed 15% of your discretionary income.
This can be a good option for borrowers who are struggling to make payments on their loans, as it will lower their monthly payments and help them get out of debt more quickly.
However, it is important to note that any forgiven debt may be taxable. As a result, borrowers should carefully consider all of their options before choosing an income-based repayment plan.
Talk to a Student Loan Advisor
If you’re feeling overwhelmed by your student loan debt, don’t worry. You’re not alone. Millions of people are in the same boat. But there is help available.
Talk to a Student Loan Advisor today about your options for repayment and consolidation. Student Loan Advisors can help you find the best plan for your unique situation and get you on track to becoming debt-free.