1,300 Pennsylvania Students Will Save On Student Loans Thanks To $ 2.6 Million Deal
A $ 2.6 million deal reached by the Pennsylvania attorney general’s office eased student debt for 1,300 students.
The deal will result in the cancellation of approximately $ 2.6 million in Pennsylvania private student loans held by students attending schools run by the now defunct Education Corporation of America, AG Josh Shapiro said.
The missing company abruptly closed its doors due to its loss of accreditation and failure to meet financial requirements from the Federal Ministry of Education in December 2018.
The ECA operated the Brightwood campuses in Philadelphia, Broomall, Harrisburg and Pittsburgh before the closure.
The agreement provides for the repayment of loan repayments to Pennsylvania borrowers by the Texas-based loan holder Elevation Capital Partners, LLC.
“When Education Corporation of America closed its doors, it left thousands of Pennsylvanians without a degree and with a huge financial burden. Today we came to an agreement and canceled millions of dollars in debt for the Pennsylvanians, ”Shapiro said.
“Student loan debt is a life-changing barrier for far too many people in our Commonwealth, which is why we fight for borrowers every day.”
Borrowers affected by this settlement will be contacted directly by the Attorney General’s Office and need not take any action to receive repayment or have debts canceled.
Since taking office in 2017, Shapiro has secured more than $ 62 million in debt relief for student loan borrowers.
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