Former University of Phoenix students’ loan debt cancelled

The Biden administration is cancelling nearly US$37 million of federal student loan debt for more than 1,200 borrowers who attended the University of Phoenix because it found that the for-profit school misled students about job prospects, writes Katie Lobosco for CNN.

Taking a narrower approach to student debt forgiveness, the Biden administration has continued to cancel some borrowers’ debts under existing programmes after the Supreme Court blocked its broad student loan forgiveness programme that promised to forgive up to US$20,000 for low- and middle-income borrowers.

Building on an investigation by the Federal Trade Commission, the US Department of Education found that the University of Phoenix falsely represented that its partnerships with thousands of corporations, including Fortune 500 companies, would give students hiring preferences.
Full report on the CNN site