9 votes

Defrauded students to receive loan forgiveness

Posted by moocow1452
Tags: usa, government, democratic party, joe biden, department of education, colleges, students, loan forgiveness, education.higher, loans.student, policy.education, author.oriana gonzalez, author.maria arias, source.axios, short read
https://www.axios.com/defrauded-students-loan-forgiveness-for-profit-colleges-707774cd-8f7e-4c06-9a92-1902dd170b97.html

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Title
Students who were defrauded by for-profit schools will have their student loans eliminated
Authors
Oriana Gonzalez,Maria Arias
Published
Mar 19 2021
Word count
187 words

3 comments

  1. [3]
    Diff
    Link
    This article is a bit short on the actual details of the situation behind all of this. $1billion is a lot of money. And 72,000 is a lot of people to defraud. What happened?

    This article is a bit short on the actual details of the situation behind all of this. $1billion is a lot of money. And 72,000 is a lot of people to defraud. What happened?

    2 votes
    1. [2]
      stu2b50
      Link Parent
      I believe this relates to the case of for-profit schools that went belly up (ITT and Corinthian, for instance). Under Devos, the governement did not cancel all debt for loans taken out for...

      I believe this relates to the case of for-profit schools that went belly up (ITT and Corinthian, for instance). Under Devos, the governement did not cancel all debt for loans taken out for fradulent schools, instead there was a formula for partial forgiveness, which garnered a good deal of criticism since the formula seemed to have little connection to reality.

      Now all the loans are being forgiven.

      6 votes
      1. nukeman
        Link Parent
        Somewhat related, I suspect this action is also a trial balloon to see how the public reacts regarding debt cancellation in general.

        Somewhat related, I suspect this action is also a trial balloon to see how the public reacts regarding debt cancellation in general.

        3 votes