“While we can’t give students back the time they’ve invested at Corinthian, the least we can do is give them the debt relief they deserve and are entitled to under the law in a manner that is easy and efficient”, said John King, the incoming secretary of education.
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A dental assisting program at Everest’s San Jose campus boasted an 84 percent job placement rate in 2011, when less than a quarter of graduates found jobs, according to a list of programs released by the Department of Education.
The department described its findings as the product of a joint investigation with California Attorney General Kamala Harris, whose office sued Corinthian more than two years ago, alleging misrepresentation of job-placement rates among other wrongdoing. While most of the discrepancies between the job placement rates the university advertised and the actual rates were not quite as extreme, many were in the double digits. But they could be significant for former Corinthian students who seeking to have their loans canceled. Education Department officials said they were continuing to investigate Corinthian’s job placement practices.
The agency also expanded debt forgiveness for a few Corinthian students.
Tens of thousands of students who attended California’s Everest or WyoTech career colleges might be able to get their federal student-loan debt wiped clean after an investigation determined the schools wildly inflated job prospects for most graduates, the U.S. Department of Education announced Tuesday. More than 85,000 students could be eligible for relief.
“Our office will continue to work with the department to help make sure this process is as streamlined as possible for students to apply for relief as quickly as possible”, Harris said. Instead, Herrine suggests the Department simply forgive the debt without asking borrowers to apply. The company’s marketing targeted low-income students and others it considered vulnerable, she said. “All of this relief that they’re supposedly providing for students, they’re putting these layers of red tape that there’s absolutely no reason to put there”.
Today’s announcement follows a massive settlement announced Monday by Education Management Corporation, the parent company for the Art Institute of San Francisco, with the U.S. Department of Justice and attorney generals in 39 states.
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As of November 4, Mitchell said the Department of Education has received 10,100 closed school discharge claims and has approved nearly 5,300 of those, representing $70 billion in loans.
