By Katie LoboscoThe Biden administration is canceling nearly $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. Similar to Wednesday’s announcement about the University of Phoenix, the Department of Education canceled $72 million in federal student loan debt in August for more than 2,300 borrowers who attended the for-profit Ashford University in California. Altogether, the administration has canceled more than $117 billion of the nearly $1.7 trillion of outstanding federal student loan debt since 2021. The government will instruct student loan servicers to put affected borrowers’ loans in forbearance until the debt is officially canceled. The Biden administration has made it easier for borrowers to apply for federal student loan forgiveness from a variety of existing programs.

Source: CNN September 20, 2023 23:03 UTC