The recent closure of ITT Tech has left many students in a bind, wondering what will happen to their loans. Will they be forgiven? Read on to find out.
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The Department of Education has a process for loan forgiveness for students who were attending schools that closed while they were enrolled, and ITT Tech is one of the schools that qualifies. If you have federal student loans from ITT Tech, you may be eligible to have your loans forgiven.
There are two ways to have your ITT Tech loans forgiven. You can either apply for a Closed School Discharge or a Disability Discharge. If you qualify for either of these, your loans will be forgiven and you will not have to repay them.
If you do not qualify for either of these options, you may still be eligible for loan consolidation or income-based repayment plans. These options will lower your monthly payments and make it easier to repay your loans.
If you are struggling to repay your ITT Tech loans, you should contact the Department of Education or your loan servicer to discuss your options. Do not wait until your loans are in default before you seek help.
What happened to ITT Tech?
ITT Tech was one of the largest for-profit college chains in the United States, with over 130 campuses across the country. But in September 2016, the company abruptly closed all of its campuses, leaving thousands of students stranded.
The closure was the culmination of a long string of financial and legal troubles for ITT Tech. The company had been accused of predatory lending practices, and in 2014 the U.S. Department of Education barred ITT Tech from enrolling new students who received federal financial aid.
In the wake of the closure, many ITT Tech students were left wondering what would happen to their student loans. Unfortunately, there is no easy answer.
The good news is that you may be eligible for federal student loan forgiveness if your school closed while you were enrolled or if you withdrew within 120 days of the closure. You can also apply for a discharge if your school misled you about your degree or failed to pay refunds or tuition refunds.
If you have private student loans, you may not be so lucky. Private loans are not eligible for federal student loan forgiveness programs, and your only option will be to try and negotiate with your lender for a better repayment plan.
What are ITT Tech students eligible for?
ITT Tech students who have federal loans may be eligible for a complete discharge of their debt. If you have private loans, you will not be eligible for a complete discharge, but you may be able to negotiate a more favorable repayment plan with your lender.
The first step is to find out what type of loans you have. You can do this by logging in to the National Student Loan Data System and looking up your loan history. Once you know what type of loans you have, you can research your options and start the process of applying for forgiveness ornegotiating a repayment plan.
If you have federal loans, you may be eligible for a complete discharge if:
-You are unable to complete your program because your school closed before you could finish
-You were enrolled at an ITT Tech school within 120 days of its closure and did not choose to transfer your credits to another school
-You were enrolled at an ITT Tech school that closed on or after June 16, 2014 and did not choose to transfer your credits to another school
What are the next steps for ITT Tech students?
The Department of Education says that ITT Tech students can transfer their credits to another school, or they may be eligible to have their federal student loans forgiven.
If you are an ITT Tech student who is unable to complete your program because the school closed, you have two options:
-Transfer your credits to another school. You may be able to transfer your credits to another institution so you can continue your education and complete your program.
-Get your federal student loans forgiven. You may be eligible for a Total and Permanent Disability (TPD) discharge of your federal student loans.
After doing some research, we have come to the conclusion that ITT Tech loans will not be forgiven. We were not able to find any reliable sources that said they would be forgiven. Most of the sources we found were from people who had heard rumors or were speculating, but there was no concrete evidence to support these claims. If you have any information about this topic that we may have missed, please let us know in the comments!