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15-Dec-2019 02:05

For now, the Department has provided this information: Certain Heald College Borrowers: The Department found that between 20, Heald College misrepresented job placement rates for many of its programs of study.

The Department has stated that these Heald College findings qualify students enrolled in the covered programs and time periods to apply for a discharge of their federal Direct Loans through an expedited process using a simple attestation form.

According to the Department, for borrowers who are in default, “…stopping collections means that the government will stop attempting to collect on the loan, including by not withholding money from wages or income tax refunds.

This will continue until the borrower defense review process of your application is completed.

Although borrowers have long had the right to raise school-related defenses to repayment, the Department only recently began creating a borrower defense to repayment process.

The Department issued final rules on November 1, 2016 that were supposed to go into effect July 1, 2017.

There are a few exceptions to this general process which still appear to apply, including: 1. The Department created a streamlined process and has provided specific information for some former Corinthian school borrowers.

Whether you can use this streamlined process depends on when you attended the school.

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Information on what to include in your borrower defense application is available on-line and on the application form.

This move follows the Department’s investigation as well as numerous admissions by the school that it made false and misleading representations to students, misstated job placement rates and employed instructors who were unauthorized to teach under applicable state laws.

Borrowers who submit complete borrower defense claims can choose to have their Direct loans and Department held FFEL loans placed into forbearance or stopped collections.

Borrowers who enrolled in a Heald College program on or after the dates specified here may apply for a discharge based on a borrower defense by doing the following: Certain Everest and Wyotech borrowers: The Department previously announced that it found that between 20, Everest Institute, Everest College, and Everest University (“Everest”), and Wyo Tech misrepresented job placement rates for many of their programs of study.

The Department stated that these findings qualify students enrolled in the covered programs and time periods to apply for a discharge of their federal Direct Loans through an expedited process using a simple attestation form.” If you previously defaulted on your federal student loan(s) and have entered a rehabilitation plan, the Department advises you to contact the collection agency you have been working with to help you determine whether there may be any negative consequences if you choose to enter stopped collections status.



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