Student Loans

A Georgia man has been sentenced to six years in prison while also being ordered to pay $910,417 in restitution after pleading guilty in a scam that led to $48 million of federal student loans being fraudulently discharged through a program intended for disabled military veterans. De’reek Banks illegally pocketed …

The Department of Education announced yesterday that it is canceling all the remaining federal student loans for anyone who attended ITT Technical Institute between 2005 and its closure in 2016. This will result in the cancellation of loans for 208,000 individuals who collectively owed $3.9 billion on those outstanding debts. …

The only good thing that happens when an individual defaults on his or her student loan is that debt collectors make money, according to an Undersecretary at the Department of Education who was speaking during a virtual panel discussion earlier this week. Defaults do nothing more than “drive borrowers who …

A group of nearly two dozen state Attorneys General have written a letter to President Biden and Education Secretary Miguel Cardona, asking them to extend the deadline for individuals to file claims under the Public Service Loan Forgiveness (PSLF) program, arguing that too many eligible candidates are still unaware or …

A group of 176 different organization and advocacy groups sent a letter to President Biden yesterday, calling on him to extend the student loan payment moratorium that is set to expire on August 31, saying that individuals are not “financially prepared” to resume making payments into a system “plagued by …

The Department of Education yesterday announced a settlement in a lawsuit that will see the debts of 200,000 individuals forgiven, wiping out $6 billion in unpaid loans owed by individuals who had filed borrower defense claims that were left pending for years by previous administrations. A copy of the settlement …

A bill has been introduced in the House of Representatives that, if enacted, would prohibit the federal government from cancelling or forgiving federal student loans because the government does not have the authority to do so and because it’s “unfair for taxpayers who paid student loans or did not attend …

A bill has been introduced in the House of Representatives that would allow students to take over debts that were incurred on their behalf under the Parents PLUS loan program. A copy of H.R.7982, the Parent PLUS Loan Fairness and Responsibility Act, can be accessed by clicking here. Under the …

A report released by the National Consumer Law Center and the Center for Law and Social Policy (CLASP) calling for “broad-based” cancellation of student loans, extending the moratorium on making student loan payments, and “strengthening” repayment options, as a means of helping individuals with student loan debts while also closing …

The Department of Education yesterday announced it was canceling $5.8 billion of unpaid student loans taken out by individuals who attended Corinthian Colleges, wiping out the debts for more than 560,000 borrowers in what the department called the “largest single loan discharge” in its history. Issues with Corinthian Colleges date …