The federal government will forgive the debt of thousands of former students of Corinthian Colleges, the Obama administration said Monday as it announced a new debt relief plan that will extend to all federal borrowers who can prove they were defrauded by their college.
U.S. Department of Education officials unveiled a series of loan forgiveness measures aimed most immediately at helping students who attended the now-defunct for-profit Corinthian chain. But officials are also opening up debt relief to a far broader pool of students, and said they’re anticipating claims from borrowers at other for-profit colleges found to have engaged in predatory practices.
Education Secretary Arne Duncan told reporters that Corinthian, which declared bankruptcy last month, "will not be the last domino to fall" in the for-profit education industry, which he criticized heavily in his remarks.
Read more at Inside Higher Ed: https://www.insidehighered.com/news/2015/06/09/us-will-erase-debt-corinthian-students-create-new-loan-forgiveness-process