On Thursday, the US Department of Education announced an extension of loan write-offs to an additional 115,000 former ITT students, providing $ 1.1 billion in loan relief to student borrowers defrauded by a defunct school.
ITT Tech filed for bankruptcy and closed abruptly in 2016, and the US Department of Energy have already forgiven loans to 18,000 student borrowers The school misled them, he said, as it was struggling with financial problems.
The department now provides this benefit to students who left school without earning a degree or ID anytime after March 2008.
US Secretary of Education Miguel Cardona said in a statement the recurring costs of helping student borrowers “underscore the need for stronger and faster accountability across the entire federal financial aid system.”
Many students were unable to transfer their loans to other schools and struggled to find work after studying at ITT Tech.
The department estimates that at least 43 percent of borrowers included in the extension are currently uncommitted on their loans.