University of Phoenix Forgives $37M Debt
Biden's Education Department and FTC announce $37 million debt relief for 1,200 University of Phoenix Borrowers, addressing their financial burden.
These discharges are granted through the borrower defense to repayment, which are claims that a borrower can submit if they believe the school they attended deceived them. Their loans would be discharged if they were accepted. This batch includes Phoenix students who enrolled between September 21, 2012, and December 31, 2014, and submitted claims.
Common Questions 2023
Is Student Loan Debt Forgiven?
Borrowers of University of Phoenix student loans will have their obligations dismissed in a landmark development. This lawsuit is part of the borrower defense to repayment scheme, which permits borrowers to seek loan forgiveness if they believe their educational institution deceived them. In this case, the University of Phoenix was accused of fraudulent activities, which resulted in a settlement that will relieve these borrowers of their financial obligations.
The borrower defense to repayment scheme serves to defend students’ rights who have been misled or scammed by educational institutions. It gives these students a way to seek relief from the loans they took out while attending institutions that engaged in misleading tactics.
Care About Us
What is the Average Amount of Student Loan Debt?
The amount of student loan debt varies greatly from borrower to borrower. It is determined by a variety of factors, including the type of degree pursued, the length of schooling, and the individual institution attended. However, understanding the broader landscape of student loan debt in the United States is critical.
According to Federal Reserve data, the average student loan debt for borrowers who attended college in the United States was around $37,000 as of my knowledge cutoff date in September 2021.
Why are Student Loans being Forgiven?
Student loans are canceled under several federal loan forgiveness programs for a variety of reasons, including:
What is the difference between Student Loan Forgiveness and Student Loan Discharge?
Student loan forgiveness and discharge are ideas that are connected but have major differences:
Student Loan Forgiveness:
Student Loan Discharge
You can find additional information on student loan forgiveness and related issues at the following websites:
The student loan landscape is always changing, and borrowers are encouraged to be knowledgeable about their options and rights regarding student debt repayment and forgiveness.
