Published: May 2015

Help for Corinthian students who were misled

After Corinthian Colleges announced that it’s closing its twenty-eight campuses and filing for Chapter 11 bankruptcy, Consumer Action joined coalition advocates in asking the U.S. Department of Education to provide the students who were enrolled at the time with the information and resources they need to make an informed decision about transferring their credits or filing for a closed school discharge.

In a letter to the Secretary of Education, advocates urged the department to provide adequate assistance to the nearly 16,000 Corinthian students impacted by the for-profit school’s immediate closing. Students who are entitled to federal loan student discharges, and those who would like to transfer their credits, should receive access to accurate and clear information explaining their options and should be encouraged by the department to take their time in making the important decision regarding the future of their education.

The coalition also argues that the Department of Education, which fined Corinthian $30 million for falsifying job-placement rates, has a duty to discharge the debt of all borrowers who were misled by the company.

Lead Organization

Americans for Financial Reform (AFR)

Other Organizations

AFL-CIO | American Association of State Colleges and Universities (AASCU) | American Association of University Professors (AAUP) | American Federation of Teachers, AFL-CIO | Americans for Financial Reform | Center for Responsible Lending | Consumer Action | Consumers Union | East Bay Community Law Center | Empire Justice Center | Generation Progress | Higher Ed, Not Debt | Housing and Economic Rights Advocates | The Institute for College Access & Success | Jobs With Justice | The Leadership Conference on Civil and Human Rights | MALDEF | Mississippi Center for Justice | National Association of Consumer Advocates | National Consumer Law Center (on behalf of its low-income clients) | National Consumers League | The Other 98% | Public Counsel | Public Law Center | Service Employees International Union | Student Debt Crisis | United States Student Association | U.S. PIRG | Veterans Education Success | Veterans Student Loan Relief Fund | VetJobs | VetsFirst, a program of United Spinal Association | Woodstock Institute | Young Invincibles

More Information

For more information, please visit AFR's website.

To read the full letter to the Secretary of Education, please click here.

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