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January 13, 2017

Posted  January 13, 2017

Nearly 4,500 students victimized by the now-defunct American Career Institute (ACI) in Massachusetts will have their federal student loans forgiven by the U.S. Department of Education, Massachusetts announced. The announcement marks the first time the Department has granted a state attorney general’s application to cancel loans for a group of defrauded students. According to the Department, students who attended any of ACI’s five career training schools in Massachusetts – Braintree, Cambridge, Framingham, Springfield, and Woburn – will have their loans discharged based on deceptive and illegal practices uncovered by the AG’s investigation into the former for-profit school. In addition to federal loan discharges, former ACI students will also be entitled to refunds of any payments made on their federal loans. The combined borrower loan discharges for ACI students announced will total roughly $30 million. MA

Tagged in: Education Fraud,