Loan Cancellation for Student Loan Borrowers Who Attended Corinthian Colleges
Today, the U.S. Department of Education announced the cancellation of $5.8 billion in federal student loans for 560,000 individuals who borrowed to attend schools owned by Corinthian Colleges, the for-profit college conglomerate that is now defunct. Corinthian was a notorious repeat offender that defrauded its students and the public over many years. This loan cancellation would not have been possible without the tenacity of so many individual student loan borrowers harmed by Corinthian’s tactics. Many of them came forward to law enforcement agencies and regulators to detail systemic abuses. Others even had the courage to make their stories public to urge government authorities to act, rather than sitting on the sidelines. Over the last decade, I had the opportunity to speak with many of them to learn about Corinthian’s conduct. The Consumer Financial Protection Bureau and state attorney general actively pursued Corinthian for its misconduct. The CFPB filed a lawsuit in 2014, obt...