Explore University Of Phoenix Student Loan Forgiveness Options

The University of Phoenix is one of the nation's largest for-profit colleges. In 2019, the University of Phoenix and its parent company, Apollo Education Group, settled with the U.S. Federal Trade Commission (FTC) for $191 million. The settlement included $50 million in direct payments to students and $141 million in cancelled unpaid balances owed to the school. The University of Phoenix has also been accused of using deceptive advertising to attract students, falsely claiming to work with employers such as Microsoft, Twitter, Adobe, and Yahoo to create job opportunities for its students. As a result, former students at the University of Phoenix may be eligible for student loan forgiveness.

University of Phoenix students may be eligible for federal student loan forgiveness if they were deceived by the school's job placement claims

The University of Phoenix has been accused of using deceptive advertising to attract students, falsely claiming to work with employers such as Microsoft, Twitter, Adobe, and Yahoo to create job opportunities for its students. The university has also been accused of tailoring its curriculum to the job needs of these companies, which has been found to be untrue.

The Department of Education will be forgiving the federal student loans of those who attended the University of Phoenix between September 21, 2012, and December 31, 2014, and were deceived by the school's job placement claims. This loan forgiveness is a result of the Department of Education's findings that the university's national ad campaign misled prospective students by falsely representing its partnerships with corporations, including Fortune 500 companies. The university claimed that these partnerships would benefit students by giving them hiring preferences at these companies, which was not true.

To be eligible for loan forgiveness, students must have attended the university during the specified time period and submitted a valid application for relief through the Borrower Defense program. The Department of Education will notify applicants if their claim has been approved, and they will see any remaining loan balances zeroed out and credit trade lines deleted.

The University of Phoenix has denied any wrongdoing and stated that they "admitted no wrongdoing and continue to believe [they] acted appropriately." Despite this, the university has agreed to a $191 million settlement with the Federal Trade Commission (FTC), which includes $50 million in direct payments to students and $141 million in canceled unpaid balances owed to the school.

The Department of Education will notify affected borrowers by email if their claim has been approved

The Department of Education will send emails to affected borrowers in early October, and no further action will be required to receive a refund on any loan amounts paid. This decision is based on the Federal Trade Commission's (FTC) 2019 court action against the University of Phoenix, where the FTC alleged that the university used deceptive advertising practices to attract students. The FTC's investigation found that the university falsely claimed to work with employers such as Microsoft, Twitter, Adobe, and Yahoo to create job opportunities for its students and tailor its curriculum to the job needs of these companies.

If you have already submitted a borrower defense claim, you can check the status of your application on the borrower defense page under "Manage My Applications." If you have not yet submitted a claim, you can visit the borrower defense page to learn more and submit your claim. Even if you have received a refund from the FTC's settlement, you are still eligible for loan forgiveness through the ED's borrower defense program.

It is important to note that the University of Phoenix has disputed the allegations and stated that they have admitted no wrongdoing. However, the Department of Education's decision provides relief to students who were harmed by the university's false claims.

The University of Phoenix's parent company, Apollo Education Group, settled with the FTC for $191 million

As part of the settlement, the University of Phoenix and Apollo Education Group agreed to pay $50 million in cash to former students and cancel $141 million in debts owed directly to the school. This settlement is specifically for students who first enrolled at the University of Phoenix between October 1, 2012, and December 31, 2016. The University of Phoenix is also required to change its conduct in the future and must ensure that consumers have access to their diplomas and transcripts.

In addition to the FTC settlement, the U.S. Department of Education has also approved federal student loan forgiveness for University of Phoenix students who were deceived by the school's job placement claims and submitted valid applications for borrower defense. This loan forgiveness is available to students who attended the school between September 21, 2012, and December 31, 2014. The Department of Education will continue to process new and existing applications, and all borrowers with approved claims will receive full loan forgiveness.

The University of Phoenix has denied any wrongdoing and stated that it disagrees with the allegations raised by the Department of Education. Despite this, the University of Phoenix has provided significant evidence to the Department of Education to refute inaccurate, baseless, or incomplete claims.

Over 1,200 borrowers who were deceived by the for-profit university will have their debt cancelled

The Biden-Harris Administration has approved $37 million in borrower defense discharges for over 1,200 students who enrolled at the University of Phoenix between September 21, 2012, and December 31, 2014. The US Department of Education found that the university's national ad campaign, "Let's Get to Work", misled prospective students by falsely claiming that its partnerships with thousands of corporations, including Fortune 500 companies, would benefit them by giving them hiring preferences at those companies. The Federal Trade Commission (FTC) charged that the for-profit university falsely touted relationships and job opportunities with top companies.

The University of Phoenix has denied any wrongdoing and has stated that it "disagrees with the allegations raised by the department". They also pointed out that these allegations were never tested in court. However, the Federal Student Aid Chief Operating Officer, Richard Cordray, stated that:

> The University of Phoenix brazenly deceived prospective students with false ads to get them to enroll. Students who trusted the school and wanted to better their lives through education ended up with mounds of debt and useless degrees.

The Department of Education reviewed evidence obtained by the FTC in its multi-year investigation into the University of Phoenix, which was resolved through a $191 million action in 2019. This included internal emails, policies, procedures, recorded phone calls with prospective students, and draft and final advertisements. The evidence demonstrated that the university promised borrowers unique employment opportunities or connections to high-profile employers, but these promises were empty.

As a result of the findings, the Department of Education will notify affected borrowers by early October that their applications have been approved, and any remaining loan balances will be zeroed out and credit trade lines deleted. The Department also intends to initiate a recoupment proceeding against the University of Phoenix to seek repayment of the liabilities associated with these approved claims at a later date.

Borrowers who may qualify for relief are advised to visit the StudentAid.gov/borrower-defense website to learn how to apply for borrower defense.

The University of Phoenix has denied any wrongdoing and intends to challenge allegations through legal avenues

The University of Phoenix has come under fire in recent years for its alleged use of deceptive advertising practices to attract students. The US Federal Trade Commission (FTC) and the US Department of Education (ED) have been at the forefront of investigating and taking action against the university.

In 2019, the FTC brought a $191 million action against the University of Phoenix, alleging that the university made false claims about its relationships with prominent companies, including Microsoft, Adobe, AT&T, and Yahoo!, to entice prospective students. The university allegedly claimed that its partnerships with these companies would provide unique job opportunities and benefits to its students, which the ED and FTC argue were misleading and false.

The University of Phoenix has denied any wrongdoing and intends to challenge the allegations through legal avenues. In a statement, the university said it "disagreed with the allegations raised by the department" and pointed out that the allegations were never tested in court. They further stated that they "take student borrower complaints very seriously" and have provided significant evidence to the ED refuting what they consider to be "inaccurate, baseless, or incomplete claims." The university intends to "vigorously challenge each frivolous allegation and suspicious claim through every available legal avenue."

The University of Phoenix's response to the allegations highlights the complexity of the situation and the potential for ongoing legal proceedings. While the ED and FTC have taken action based on their investigations, the university maintains its innocence and is committed to defending its position.

The University of Phoenix's statement also emphasizes the importance of due process and the role of the legal system in resolving such disputes. By challenging the allegations, the university is exercising its legal rights and seeking to clear its name. This development underscores the need for a thorough examination of the evidence and a fair resolution, ensuring that the interests of both the students and the university are considered.

The University of Phoenix's decision to challenge the allegations through legal avenues will likely result in further proceedings and could potentially impact the outcomes for affected students. It remains to be seen how the legal challenges will unfold and what implications they may have on the student loan forgiveness process for those who attended the University of Phoenix during the specified period.

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