Corinthian College Students Asking For Student Loan Forgiveness and Student Loan Discharge
Back on April 26, 2015, Corinthian Colleges, Inc announced that the company would cease and discontinue operations of its 28 different ground campuses throughout the states of California, Hawaii, Oregon, New York, and Arizona.
The very next day on Monday April 27th, when the discontinuation took effect, approximately 16,000 students attending the Everest Colleges and Institutes, WyoTech, and the 150-year-old Heald College woke up to their educational establishment boarded up and closed down. No doubt these students were thrown into a spiraling frenzy of questions, frustrations, worry, and freak out.
Who can blame them? Imagine waking up to find out that the school you were currently attending and pursuing your degree through had closed down, locked its doors and then thrown away the key… Scared, angry and dumbfounded is an understatement.
Not to mention:
- the 10’s of thousands of graduates who were wondering if their degree was still valid or what would happen to their credits that they had graduated with,
- and the current and former students who were wondering about the combined $143 million of student loan debt they had been left to deal with.
What were they supposed to do with that?
Did they even have to pay it back now that their college had closed down??
These are questions that are still going on and being addressed. Recently, Corinthian College students have started to ask the Department of Education to discharge their student loan debt they received from attending Corinthian Colleges. Many claiming that the company fraudulently enrolled them with misleading information on job placement statistics and the perceived value of their degree. Several thousand of Corinthian College students and graduates are thousands of dollars in student loan debt and unable to find suitable jobs to support themselves and their families.
So what actually are these Everest, Heald, and WyoTech students and graduates supposed to do? Did the school just leave them in the dark with no outlet in regards to their degree and their thousands of dollars in student loan debt?
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The good news is that the Corinthian Colleges did not leave students completely stranded in the dark.
The Corinthian College students may have been blindsided but the school tried it’s best to accommodate to those who had once walked its halls and classrooms. The Department of Education is also trying to find these students relief from the debt the students were deceptively lured into.
Here’s just some of the different outcomes that can happen:
– Students could transfer their credits to a school of equal value to finish their pursuit of their degree, including attending one of the Zenith Education Group schools who agreed to buyout 56 different Corinthian campuses and accept their students. Students who did this would not be eligible for Corinthian College student loan forgiveness through a ‘closed school discharge’.
– Students that attended Corinthian schools when they closed them down on April 27th, 2015 and who did not choose to finish their degree at a different educational institution may be eligible for a student loan discharge or student loan forgiveness.
– Students who withdrew from a Corinthian school on or after June 20, 2014 may also be able to see up to a 100% discharge and reimbursement of any student loan payments they have made.
– Corinthian College students and graduates who believe that they were fraudulently enrolled and lied to about degree value, may be able to acquire the little known ‘Borrower Defense’.
In the last month alone the Department of Education has received over 12,000 potential ‘borrower defense’ cases in which students can ask for Corinthian College student loan forgiveness. These will take months if not years to get through as more and more keep flooding into the department each day. The amount of student loan debt to be discharged if these cases all go through is estimated at $3.2 billion.
While students wait to find out if their case will go through or not, they are left with their day to day struggle of trying to make ends meet since their degree did not come through with the value that they thought it would. They are still having trouble finding good jobs. And there is still the question of whether or not this process will actually make their loans go away.
While the student’s case is in review by the Department of Education, their student loans they got from the Corinthian schools will be placed on forbearance. What they don’t tell you is that while a forbearance gives you a “break” in your loan payments, most federal student loans are still accruing high interest day in and day out.
It is inevitable that Corinthian College students and graduates will get turned away from the Department of Education and will be stuck with their loans.
So what will happen to these students who have had their loans in forbearance for months and years, haven’t been making principal payments or interest payments, and their case ends up not going through to receive a discharge?
- Their student loan balance will be higher because of the interest accrued during the extended period of time they were placed on forbearance
- Their student loan payments will be higher because their balances are higher.
- They will be further behind on payments
- And unless they found a different way to increase the value on their degree or get a better job with their experience
So to the thousands of students who will get denied a refund or a discharge find out your other options so you can minimize and recover from the damage done by the ‘lie’ told by the school.
These government programs are designed to help put former students in a better financial position and help put money back in their pockets and keep it there. In fact 81% of former students who reach out to 877.433.7501 are able to discover choices that they never knew existed and able to be put into a better student loan situation. Corinthian students are taking charge and getting help. Are you going to be one of them?
For more FAQ’s about the closing of Corinthian Schools, please visit: https://studentaid.ed.gov/sa/about/announcements/corinthian/faq
January says
This “school” has had issues way before 2010. I attended the North Aurora, Il site. Something needs to be done to help Students in prior years. I now have collection agencies offering me a fraction of the price to pay off only loan. I am very skeptical! Also on my credit it sure does not show any payments being taken from seized federal and state refunds!?
January says
I attended Everest in 2007 and complained the entire time about medisoft program never worked but, “all passed” the course somehow! I complained about never having sufficient supplies. How people were being rewarded for perfect attendance although missed several days! The list can go on. No one heard me or other students in my class! Upon graduation which I did wit honors I couldn’t get a job in medical assisting. So I took exam to be certified and passed hoping this cert would help. Guess what it didn’t! Another waste of time spent to go no where. I refused to pay my loans until services we were provided that didn’t work would be taken out of my loans. Now my loans have been turned over to government and taxes taken. My credit is ruined assisting nd nd I have a 545 score due to these loans. I begged and pleaded with Dept of education to no avail and even after graduation with head of school whom as 7 in 7 months of program just shrugged me and other students off. How do I get this scam of a school off my credit?
Amy Blatterfein says
Hey January,
That sounds like a tough situation that you’re in now. The first step would probably be to get your loans out of default and on a repayment schedule that you’ll be able to handle.
I’d suggest you give us a call at 877.433.7501. One of our experienced student loan consultants will be able to go through your loans with you and tell you all your options.
Good luck, January!
Sophia Shamburger says
I have attended Everest for four years my first two years was for a Business Administration degree and I am in my last week for my Bachelor in Paralegal. And when all this was going with Everest back in April when they was switching over to Zenith I under the impression that I was going to be finish with school in July. When they connected me about the option of what I wanted to do, I asked at that time my student adviser how many classes I had and how much longer do I have to finish and she told me that I didn’t have that much more longer left so I decided to continue. So when I called in June to see what the exact date I would be done with school they look up my information they informed me that I had two more classes to take before I be done. And I was like what I being told that I be done in July now have to go another 3 months. I was taking extra classes to finish early because I was advised by a financial personnel that I was reaching my limit for student loans and financial aid and it would be a good idea to take extra classes so I will be able to finish early before I ran out my student loans and financial aid. So when I called and asked about my last disbursement check I was told that I wasn’t going to get one because my financial aid and student loans had ran out. And that I owe them $3,000 for tuition because financial aid ran out and they paid some with the money I had left and my student loans had ran out. So they told me to apply for this scholarship through the school that they would pay the balance but the only way they would pay for it I had to pass my classes. Now I feel like I have been lied to and stuck in student loan debts because I am stuck at a low paying job. My question is am I eligible for student forgiveness or what is my options?
Terri Rogers says
I was told the same thing. They had me to apply for loans through Navient or I would not graduate.
Ernest Wade says
I attended Everest in Aurora,Co. I graduated in 2012 and received a degree in business and went back and received another degree for accounting as well. I ended up with a job at a kiosk in the middle of a mall, and the job placement department told me to sign a paper that said the job was in the accounting field. It really wasn’t even close to the accounting field. I have applied for numerous accounting positions on my own to no success for the degrees were never honored and I was told I needed experience. I wasted my time and efforts at Everest for over two and half years. I was lied to and never was placed in the appropriate career field but was placed in substantial amount of debt which has hindered my life instead of helped it.
“Thanks a lot Everest….I was better off sitting on the couch doing nothing with my life.”
Angielece Alvarez says
I have attended Everest College in Merriville, IN for Medical assisting, Graduated in 2010.I feel I have wasted valuable time, effortness & my hard earned money on such place, & never gotten a job into that field. I have paid all my loans up to date now to come to find out that these colleges are closed down. How terrible that is?
Donna Browning says
I went to Everest I Kalamazoo MI. Graduated top of my class. The diploma was worthless. I was promised job placement help and given none. During the course our instructor quit and we were left without an instructor for the last half of the Mod. I have paid back all but $7000 of over $20,000. But I have struggled with homelessness and went without a job for over 4 years. I am currently a receptionist not even in the medical field.
Cathy Donovan says
I graduated from Everest College here in Aurora,CO in 2007. I did ask for help from the placement center. I asked them to help me with a professional resume in the Medical field, and to help me find a position in the Medical field. I graduated with honors of 3.87, for all of the Mods I did for me Diploma as an Medical Assistant I received 6 out of 7 Presidents awards for Straight A’s. The placement center told me they didn’t have enough time to help me with a resume or to help me get in for an interview. They pointed to a board and said those are the available jobs and that’s all the help I received from them. I did go in for one interview but they were looking for someone with experience which I did not have any. I had to go back to my profession before school as an Administrative Assistant for a much lower wage. What help can I get?
Barb says
I received an associates and bachelors degree from Everest online. I graduated in 2012 with a 3.95 gpa and on the deans list, and still I do not have a job in my field. They did try to help me a couple of times but they kept sending me suggestions that were 4 and 6 hours away from where I live. So none of those went anywhere. I went for one job it was not in my field but I had enough of the qualifications they asked for. One of those was to have an associate degree. I did not get the job, they said that Everest was not a recognized school in my state. So what good was my education? I have a lot of debt that is occur more and more interest all the time. I have qualified for an income based repayment plan which they figured my payment at $0. I feel as those I have wasted several years and many hours of my life!
Alicia says
Same exact thing happened to me. I know your pain, here in Chicago,IL.
Tracy says
I attend Everest Online through the Florida campus and I was on the Dean’s List and National Honor Society and I had to go through Criminal Justice just to take what I wanted to get my Bachelor’s in which was Crime Scene. Then when I had to come out for a semester because of cancer, they worked with me to get me back in. But this last time I had to come out because now I can’t work so I couldn’t finish my degree they wouldn’t work with me on deterring my payments because I had no job at the time and I was going for my disability. I now have my SSI but it’s not much when u have 2 children to support at home.
Ryan says
I graduated in 2011, with promises of great career opportunities. They gave me only 2 job leads. One for a temporary security job at the local county fair, and one for a separate stamp security job at a shelter. I have yet to find a college that will accept even half of my credits towards a Bachelors degree. I found my own job. But I’m still in a position that I can’t pay the ridiculous monthly payments they want. And I have no intentions of paying some 3rd party company to try to eliminate my debt. What am I supposed to do with this continuing buildup of debt?!!!
Maggie says
I was also promised a great paying job and was obligated to work on my associates when I was actually working on my bachelor’s at a different school. Had to transfer unfortunately due to personal issues. I was not informed that by finishing my associates, I will not be able to obtain my bachelor degree due to lack of funding. Was also obligated to take out a genesis loan. Needless to say, I’m stuck at a low paying job. My degree is only good for the job I currently have or corrections. Not only that but the job i have has nothing to do with the field that I wanted to go into. I cannot even get into that field without a bachelor’s degree. I’m grateful for my associates degree but not for still living paycheck to paycheck and still depending on others for help.
Melonie says
I attended Everest in Florida and was 3 classes away from my degree and I was told because they didn’t have the classes on campus I had to take them online. I expressed how difficult those classes would be to take online…basically the set me up to fail which I did. I’m still 10 credits short of my associates degree and now this. I was Dean’s list, An Ambassador and held office in Phi Beta Lambda but still have nothing to show for it and now all that hard work is for nothing. I can’t get a job now due to health issues and keep getting turned down for social security so now what am I to do?
Katie Bentley says
Melonie, if you have been deemed unable to work because of your health, there is something called a disability discharge for any federal student loans you may have acquired while taking classes with Everest. If you have a medically determinable physical or mental impairment or are a veteran with a service-connected condition, you may qualify for a discharge, based on a total and permanent disability.
Please contact the Nelnet Total and Permanent Disability Servicer for further information and to obtain an application.
Phone number: 1-888-303-7813
Email: disabilityinformation@nelnet.net
Website: http://www.disabilitydischarge.com
If you have not been deemed unable to work by a medical professional, you still have options for any loans you may still hold. Please give us a call to discuss different methods of finding loan relief at 877.433.7501.
Best of luck,
Katie
jamie says
Everest promised me a great job at graduation..I attended online classes and graduated with honors however the degree is useless unfortunately for the past two yrs i have been living in my car simply because my dead end job doesnt pay enough to make the loan payments and it impacts my credit greatly.so thank everest for everything
Jovante says
I have a question I went to Everest online enrolled in 2008 and when I had to re enroll they said my high school wasn’t accredited and couldn’t attend school after I accumulated 20000 in student loans is there something I can do for Liam forgiveness
Katie Bentley says
Hey Jovante,
That’s a very rare situation for them to tell you your high school wasn’t accredited…AFTER you had already been enrolled with them previously. If they truly found you high school to be unaccredited, then why on Earth would they allow you to enroll in the first place and then burden you with $20k in student loans?? This makes no sense to me and I am sorry you have deal with the asininity of it all…
Despite this, there should be no apparent reason as to why you wouldn’t be able to get help with the $20K in loans you have from Everest online. We would be happy to help you in any way we can. Please feel free to speak with a loan counselor at 877.433.7501 to discuss your situation in further detail and go over different options you may have. You may also visit usstudentloancenter.org/cc-pre-qualify and complete the form to get started.
Fred eye says
I attended wyotech in 2007 and have contacted several of these groups that say they can help me lower my payments or help releive the debt. I ruptured a disk in my back in 2009 and havent been able too make enough to pay my loans. All of these groups i have talked to that say they can help me want me too pay them 400 dollars first too enroll in the program. My problem is if i could afford to pay them the enrollment fee i wouldnt need the help.
Katie Bentley says
Fred, if you have been deemed unable to work because of your ruptured disk, there is such a thing as a disability discharge for federal student loans. If you have a medically determinable physical or mental impairment or are a veteran with a service-connected condition, you may qualify for a discharge, based on a total and permanent disability.
Please contact the Nelnet Total and Permanent Disability Servicer for further information and to obtain an application.
Phone number: 1-888-303-7813
Email: disabilityinformation@nelnet.net
Website: http://www.disabilitydischarge.com
If you are still able to work, you may place your loans on a temporary hardship deferment. This will give you a “break” in having to make your payments. However, be aware that your loans placed on deferment will still be accruing interest daily and therefore making payments should not be avoided for long periods of time.
If you have more questions about your student loans or would like to seek help please feel free to contact us at 877.433.7501 to speak with a Counselor. We have several different options, payment plans, as well as hardship programs for our clients and members who need them.
Harry says
Graduated with a 4.0 GPA but my Everest degree seems worthless. Had to go back to school at a reputable school to get a degree that is worth anything but what about my almost 50K in CCI related loans
Katie Bentley says
Hi Harry,
Thanks for your comment. I hope your second degree is helping you more than your first one from Everest did. It’s a shame that it even had to come to that. It’s an even bigger shame that it left you with $50K in student loans. We would love to see what we can do to help you with that. Please feel free to give us a call toll-free 877.433.7501 to speak with a Counselor or visit https://usstudentloancenter.org/cc-pre-qualify to find out what options you may have to find relief.
Best,
Katie
Deb Claflin says
I graduated in 2013 with Associates degree and honors. No additional income has come from this program as I was told it would. I ended up enrolling in a different college last year to get a degree worth using. Now I will be paying loans off for years…..Everest was a waste of 2 years of time and money.
Katie Bentley says
Deb-
I’m very sorry you feel as if you wasted your time and money. This should never be the case when it comes to things as important as your education…
Please allow us to try and minimize and maybe even erase the damage that has been done to your financial stance due to your deceptive student loans you received. Reach out to us toll free at 877.433.7501 or visit https://usstudentloancenter.org/cc-pre-qualify to speak with a Student Loan Counselor who may help guide you.
Best of luck and hope to hear from you soon!
Katie
Felicia Harris says
I withdrew from Everest online to attend another college bit my loan is in default. I really want to get back in college, is there anyway I can get help?
Katie Bentley says
Felicia,
Yes! While a loan is in default, it’s hard to receive different types of financial aid making it impossible for a lot of people to return to school. But there is a way you can get help with your defaulted loan and you can attend school again. The way around this situation is going through a consolidation. Please contact us at 877.433.7501 or complete the form on this page https://usstudentloancenter.org/cc-pre-qualify to speak to a Student Loan Counselor who can help you understand if a consolidation is right for you. You can also reach out to me personally with a good contact number and I would be happy to put you in good hands with a Counselor.
Hope to hear from you soon!
Katie
kbentley@usstudentloancenter.org
Salena Hunt says
I graduated April 5, 2015 I landed a work from home job but didnt get to go through with it because of the router. I’m still unemployed and I owe almost $30,000 in loans.
Katie Bentley says
Hi Salena,
I’m sorry to hear things didn’t pan as out as you had hoped. We would love to be there for you and try to help you with your student loans as you go through this. Please feel free to give us a call at 877.433.7501 or complete the form on https://usstudentloancenter.org/cc-pre-qualify to get in contact with a Student Loan Counselor who may help guide you to student loan relief.
Best of luck,
Katie
Lynette says
I occurred a 27k loan and on top of that was required to take out a personal Genisis loan which I don’t see why with a low paying job and single mother of two.. I was promised a high paying job @ graduation which I graduated with honors. Had to find my own place of externship.. They constantly harrassed me until I signed making it sound like it was the best decision of my life.. The biggest joke of my life now I can’t pay I graduated in 2013 but from a TX location does the location matter?
Katie Bentley says
Lynette,
The location does not matter. You are entitled to relief no matter the location of the school you attended so long as you qualify… and most Corinthian students do. However your Genesis loan is not a federal loan and unfortunately we would not be able to include it in any type of forgiveness you may be qualified for. Please feel free to reach out to us to find out more information on qualifying for forgiveness.
Hope this information helps!
Katie
Mary says
I graduated in 2008. I owe about 16,000. The equipment was out dated and so was the program. Despite graduating with honors, I never secured a job as dental assistant. I was never taught the hands on skills. I was taken advantage of. They took my money and did not provide all that they promised.
Katie Bentley says
Mary,
Thanks so much for commenting and I’m sorry that you too have felt taken advantage of. Please give us a call toll-free at 877.433.7501 or visit https://usstudentloancenter.org/cc-pre-qualify as we would love to help you with the debt that your Corinthian school left you with too. We promise that as student loan professionals, you will receive our undivided attention and we will jump through hoops to get you in a better student loan position. Our goal is to be the best student loan resource available to students like you who have felt lied to and are frustrated with the loans they were left. We have already helped thousands of others. Let’s see what we can do for you! Hope to hear from you again soon.
Best,
Katie
Lisa Brannon says
I m stuck with 27,000 debt from Everest and have no job in my major. I would have never gone there and misled me into thinking my career would Change. I graduated in 2010 and still a waitress thanks Everest for just a huge debt that I can’t pay
Katie Bentley says
Hey Lisa,
I’m truly sorry for how you are feeling right now. No one should ever feel stuck with debt nor feel like they were misled- especially when it comes to your education, finances, or finding a stable career. We would love to do what we can to help you! There are several different options you may be able to take advantage of and speaking with a Student Loan Counselor is the easiest way to do that. A Student Loan Counselor will help guide you down the better path of getting out of student loan debt. Many times that means helping you qualify for a lower payment or acquiring student loan forgiveness. Please give us a call toll free at 877.433.7501 or visit https://usstudentloancenter.org/cc-pre-qualify to get started!
Best,
Katie