December 14, 2018 05:53 PM
The U.S. Department of Education announced this week that it will automatically cancel $150 million in student loans connected to for-profit colleges that have closed in recent years.
The discharge of loans applies automatically to about 15,000 students who attended now-defunct colleges that closed between Nov. 1, 2013, and Dec. 4, 2018. About half of those impacted attended schools owned by Corinthian Colleges Inc., Corinthian owned Everest Institute in Irondequoit.
Back in 2015, hundreds of local students were left without answers outside of Everest after they were notified by email the same day that their college was closing.
Since then, many have moved on to other schools but some of those who haven't, still have outstanding federal student loans. While they could have filed paperwork to try and get their loans discharged, the process can be lengthy and tiresome.
The U.S. Department of Education says those eligible for loan cancellation must have been enrolled at the school when it closed and not enrolled at another Title-IV school within three years of the previous school's closing.
Borrowers are being notified via email about the cancellations but it may take up to 90 days for them to be processed.
Students from other schools like ITT Tech may also be eligible for loan cancellation. For more information, click here.
Updated: December 14, 2018 05:53 PM
Created: December 14, 2018 05:01 PM
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