Nearly 2,000 Arizona college students will be getting a break on their student loans. More than $2.7 million dollars in student loan debt is being forgiven after an agreement was reached by a for-profit education company and a group of 39 states’ attorneys general.
The Education Management Corporation operates South University, Brown Mackie College and other private institutes in Arizona. According to Arizona Attorney General’s Office spokesperson Mia Garcia, the corporation had unfair recruitment and enrollment practices.
“Many students told us they enrolled in these schools to make a better life for themselves and instead they were left unemployed with thousands of dollars in student loan debt,” Garcia said.
The agreement requires the EDMC to forgive nearly $102.8 million dollars in outstanding loan debt held by 80,000 former students nationwide. The corporation operates 110 schools in 32 states and Canada.