FTC: University of Phoenix students get refund payments (2024)

FAQs

FTC: University of Phoenix students get refund payments? ›

In March 2021, the FTC sent payments to eligible University of Phoenix students, which resulted in more than $45.6 million in relief. The FTC sent additional payments totaling more than $3.6 million to 130,652 people who cashed their first payment.

The University of Phoenix has revolutionized online education, one of the most flexible colleges in the country. This institution is one of the Online schools that give refund checks and laptops to eligible students. The University of Phoenix recognizes the financial burden of education.

Identifying who is eligible for a refund

If the agency obtains a reliable list of eligible recipients, then the agency mails checks or sends electronic payments directly to them.

A full academic year

Any FSA funds in excess of tuition and electronic course materials fees that are required to be sent to you will be provided no later than 14 days after they disburse.

Although the final implementation deadline for the Sweet v. Cardona settlement has now passed, many borrowers have not received student loan forgiveness and other relief that they are entitled to under the court-approved agreement. The Education Department has “materially breached Paragraph IV.

Online Schools with Substantial Refund Checks

Online schools providing significant refund checks typically deduct necessary tuition costs from student grants and return the excess to the student. This refund is intended for additional academic expenses.

Most schools have an online portal telling you if you get a refund. It may tell you outright, or it might just show your total aid vs. the amount your school billed you. In the latter case, you'll have to do some simple math to calculate your potential refund.

How can I check the status of my request? If you submitted your request through the FTC's Public Access Link, or PAL, click here. Or you could email us at FOIA@ftc.gov .

Breakdown of funds

Refunds are partial, the FTC told CBS MoneyWatch. While the average check amount comes out to $214.20, refunds range from $51.58 to as much as $4,361.72.

Generally, if the financial institution recovers the funds and returns them to the IRS, the IRS will send a paper refund check to your last known address on file with the IRS.

How to claim University of Phoenix settlement? ›

If you attended University of Phoenix and haven't submitted a borrower defense claim. Visit the borrower defense page to learn more and submit a claim. Even if you already received a payment from the University of Phoenix settlement fund, you can still apply for loan forgiveness through the borrower defense program.

Your federal loans might be forgiven. The Department of Education (ED) just announced that it will approve full federal student loan forgiveness for some University of Phoenix students. Want to know if you're eligible to get your federal loans forgiven?

In May 2023, the University of Idaho announced a deal to acquire the University of Phoenix. The total cost would be $685 million raised through bonds. A new entity was created for the purchase by U of I ultimately named Four Three Education.

Check the status of your application or update your contact information online anytime, or call the Borrower Defense Hotline at 1-855-279-6207.

If your borrower defense claim is approved, you may receive a refund of payments you previously made on the Direct Loan or on a loan repaid by the Direct Consolidation Loan. Your loan servicer will let you know whether or not you're eligible for a refund.

The Education Department will have until the end of August to discharge loans covered by the $6 billion settlement after it missed a January deadline.

Your Financial Aid refund can be used towards any education-related item listed in the cost of attendance such as such as books, transportation, housing, food, and miscellaneous expenses.

Refunds for all types of financial aid will begin 30 days after the start of the semester. You will receive loan funds in two disbursem*nts each semester.

As mentioned, most schools offer tuition refunds on a sliding scale. If you withdraw from classes before the semester begins, you can usually expect a full refund of your tuition minus deposits or academic fees. Those fees are typically minor relative to the total cost of your tuition.