Former Students of Defunct ITT Tech Receive $95.1 Million Loan Relief | Wall Street Journal
WASHINGTON—The Education Department is providing loan relief to some 7,800 former students of the ITT Technical Institute, with debts totaling $95.1 million being forgiven by the government years after the giant for-profit school chain closed. The department said that it has identified 7,878 former students of ITT Tech as eligible for a program in which loans are discharged automatically within three years of a school closure. Of those borrowers who attended the school, 7,697 had received loan forgiveness as of Jan. 3.
Defrauded college students will no longer be taxed on their canceled loans | Washington Post
Student loan borrowers whose education debt has been canceled because their college closed or engaged in fraud will no longer face a tax bill, relief that arrives as applications for forgiveness continue to grow. On Wednesday, the Internal Revenue Service issued guidance shielding borrowers from having their discharged federal and private loans treated as taxable income. The measure is effective for education loans canceled on or after Jan. 1, 2016. Anyone affected by the new policy may claim a credit or refund for an overpayment of taxes.
Scott Calls on DeVos to Testify About Stalled ‘Borrower Defense’ Claims after Judge’s Contempt Finding | Politico Pro
The chairman of the House education committee wants Education Secretary Betsy DeVos to testify about pending loan forgiveness claims by former Corinthian Colleges students after a federal judge last week held her in contempt and imposed a $100,000 fine for improperly collecting some of those loans.
Backlog of student loan fraud claims tops 210K, with processing stalled | Politico Pro
The number of federal student loan borrowers who are waiting for the Education Department to make a decision on their application for loan forgiveness based on alleged fraud by their college now exceeds 200,000 borrowers, according to new federal data released today.
Defrauded by Colleges, Students Wait in Vain for Federal Help | Austin Statesman
In 2013, Morgan Marler decided she wanted a career in computers. At the time, the now-29-year-old was living in Arlington and looking for a job that would pay well and give her a purpose. She enrolled in ITT Technical Institute, one of the nation’s largest for-profit schools. It had been in business for 50 years and had eight campuses in Texas, a fact that reassured Marler. Counselors told her she could expect to make $60,000 with a degree in network system administration.
DeVos Sued by Students Seeking College Loan Relief | Detroit Free Press
Former students of predatory, for-profit colleges are suing Education Secretary Betsy DeVos, claiming the U.S. Department of Education intentionally refused to process their applications for federal loan relief. According to the Huffington Post, DeVos halted the implementation of the Borrower Defense to Repayment regulation in June 2017, leaving the plaintiffs of the lawsuit, and many other students who were not listed, in crippling debt and without a clear path to financial recovery.
I’m Drowning In $120K Of Student Debt And I’m Suing Betsy DeVos To Make Her Fix That | HuffPost
I am drowning in more than $120,000 of student debt after being defrauded by a for-profit college, and I refuse to wait for relief from the Trump administration. That’s why I am going on the offense and suing Education Secretary Betsy DeVos. More than 158,000 other former students are doing the same.
At the US Education Department, Applications for Loan Forgiveness Languish | CNBC
When Morgan Marler’s 5-year-old daughter, Lilian, asks her why she doesn’t work anymore, Marler doesn’t know what to say. “I can’t explain debt to her,” Marler, 29, said. “And how I went to school and it was all for nothing.” Marler attended ITT Technical Institute, a now-shuttered for-profit school, between 2013 and 2016.
Lawsuit Accuses For-Profit Colleges of Deceptive Practices | Telegram
Growing up on a farm in Lunenburg, Jessica Jacobson dreamed of becoming the first in her family to go to college. She graduated from Montachusett Regional Vocational Technical School in Fitchburg in 2002, and went on to get an associate degree in web design from Mount Wachusett Community College in Gardner.
For-Profit College Students are Waiting 958 Days for Loan Relief | CNN
Morgan Marler had trouble finding a job when she graduated from ITT Tech with an associate’s degree in information technology in 2016. “I’d get an interview, but after they saw my degree was from ITT Tech — they didn’t necessarily laugh at me — but I could tell they held it against me,” Marler, 29, told CNN this week.