Student Borrowers Harmed by Dept. of Education’s Unlawful Partial Relief Scheme Drop Lawsuit After Dept. Abandons Policy | Press Release
Student borrowers in the class action lawsuit Pratt v. Cardona (previously Pratt v. DeVos) today moved to voluntarily dismiss the lawsuit, after the U.S. Department of Education agreed in March 2021 to end the previous administration’s unlawful partial relief policy for adjudicating borrower defense applications. T
Congress Urged To Stop Propping Up Fraudulent For-Profit Colleges With Federal Pell Grants | Press Release
As part of President Biden’s Build Back Better framework, Democrats in Congress have proposed restricting for-profit colleges from receiving federal funds in the form of Pell Grant awards, a student aid program for those with significant financial need. “Congress should no longer prop this fraudulent industry up with taxpayer funds…that are supposed to help the lowest income students.”
Statement on Extended Closed School Discharges for ITT Borrowers | Press Release
Today, the U.S. Department of Education announced that it will make $1.1 billion in closed school discharges available to an additional 115,000 borrowers who attended the now-defunct ITT Technical Institute (ITT). According to the Department, this segment of borrowers includes those who did not complete their degree or credential and left ITT on or after March 31, 2008.
Statement on Education Department Rescinding Partial Relief Policy | Press Release
Today, the Department of Education rescinded its second partial relief policy. Its first was enjoined by a federal court in Calvillo Manriquez v. DeVos. This second policy has been challenged in Pratt v. DeVos. This policy was layered on top of the harmful 2019 borrower defense rules, and its repeal does not affect those rules.
Biden Administration Can Cancel Student Debt On Day One | Press Release
As President-elect Joe Biden and Vice President-Elect Kamala Harris begin their transition to taking office in January, the Project on Predatory Student Lending is restating the President’s authority to cancel student loan debt for millions of students and families across the country. This action does not require Congress’s approval and can be taken on day one of taking office.
Statement on Senate Resolution to Cancel Student Debt | Press Release
Senate minority leader Chuck Schumer and Senator Elizabeth Warren proposed a Resolution calling on the President to cancel up to $50,000 in federal student loan debt for 43 million Americans. The Senators cite a Project on Predatory Student Lending legal analysis which outlines the President’s legal authority to direct the Secretary of Education to cancel student loan debt.
Florida For-Profit Colleges Sued for Selling Predatory Product and Targeting Black Students | Press Release
A class action was filed against Florida-based for-profit college chain, Florida Career College (FCC), for selling a predatory product using false representations and high-pressure sales tactics that leave students in mountains of debt they cannot repay and systematically targeting Black students.
“COVID College Cons” Series Exposes Predatory For-Profit Colleges Targeting Students During COVID-19 Crisis | Press Release
A new series of articles called “COVID College Cons” launched by Republic Report and the Project on Predatory Student Lending to expose the predatory tactics that for-profit colleges are using right now to scam students in the midst of an economic and public health crisis. The purpose of this series is to warn the public about the schemes and help protect them from fraud.
Students Seek More Sanctions Against Secretary DeVos Following Disclosure of Tripled Illegal Loan Collections | Press Release
BOSTON– Former Corinthian Colleges students are asking a court to increase the monetary penalty against the Department of Education in light of the Department’s disclosure that it collected from nearly triple the 16,000 students it originally disclosed, and that originally got it held in contempt and fined $100,000. The Department’s latest report, along with additional…
New Data Reveals DeVos Illegally Collected From Additional 17,258 Corinthian Students | Press Release
U.S. Secretary of Education Betsy DeVos revealed that an additional 17,258 student borrowers were illegally collected upon by her Department in direct violation of a court order, more than quadruple the number she had previously disclosed in October.