University of Phoenix Settlement (2024)

Important Update

Department of Education Approves Loan Forgiveness for University of Phoenix Students

The U.S. Department of Educationrecently announcedthat it will approve federal student loan forgiveness for people who attended the University of Phoenix, were deceived by the school’s job placement claims, and submitted a valid application for borrower defense. The Department of Education is continuing to process new and existing applications.All borrowers with approved claims will receive full loan forgiveness.

If you previously submitted a borrower defense claim for University of Phoenix

The Department of Education will notify you if your claim was approved. You can check the status of your application on theborrower defense pageunder “Manage My Applications.” Even if you already received a payment from the University of Phoenix settlement fund, it should not affect your pending application for loan forgiveness.

If you attended University of Phoenix and haven't submitted a borrower defense claim

Visit the borrower defense pageto 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.

Previous Updates

The agency sent payments to eligible University of Phoenix students in March 2021 and July 2023. To date, these payments have resulted in more than $47 million in refunds.

According to the FTC, the University of Phoenix relied on deceptive advertising to attract students, falsely claiming to work with employers such as Microsoft, Twitter, Adobe, and Yahoo to create job opportunities for University of Phoenix students and tailoring its curriculum for the job needs of such companies.

If you get a check, please cash it within 90 days.

You can findanswers tocommon questions about refund payments onour FAQ page. If you have any other questions, please call the refund administrator at 1-877-310-0487.

University of Phoenix Settlement (2024)

FAQs

Has anyone received their Sweet vs Cardona refund? ›

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.

Can I get my student loans forgiven if I went to University of Phoenix? ›

If You Went to University of Phoenix, You May Be Eligible for Loan Forgiveness. If you used federal student loans to pay for your education at the University of Phoenix a few years ago, you may be eligible for full loan forgiveness.

Is the University of Phoenix settlement real? ›

The agency sent payments to eligible University of Phoenix students in March 2021 and July 2023. To date, these payments have resulted in more than $47 million in refunds.

Is there a Judgement against University of Phoenix? ›

In 2019, the University of Phoenix reached a record $191 million settlement to resolve Federal Trade Commission charges that the institution used deceptive advertisem*nts that falsely touted its relationships and job opportunities with companies such as AT&T, Microsoft and the American Red Cross.

How long does it take to get the settlement from Sweet vs Cardona? ›

If your application is granted, then within one year after you receive the decision, you should receive your Full Settlement Relief. If you are a member of the decision group who received an approval of your application, but you have not received your Full Settlement Relief within one year, please fill out this Survey.

How do I check the status of my borrower defense refund? ›

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

How much is a refund check from University of Phoenix? ›

The average payment is $337. Most students will get a check in the mail. It'll come from the FTC's refund administrator, Rust Consulting.

Is University of Phoenix on the discharge list? ›

Phoenix University Discharge

These students will receive 100% discharges of their eligible federal student loans, resulting in nearly $37 million of discharges.

Did University of Phoenix mislead students? ›

The U.S. Department of Education (Department) found that a national ad campaign from Phoenix misled prospective students by falsely representing that its partnerships with thousands of corporations, including Fortune 500 companies, would benefit students by, for example, giving them hiring preferences at those ...

How much are the University of Phoenix settlement checks? ›

The average payment is $337. Most students will get a check in the mail. It'll come from the FTC's refund administrator, Rust Consulting. The checks will expire after 90 days, on June 22, 2021.

How do I claim my University of Phoenix settlement? ›

The application can be found on the Federal Student Aid website. In your application, you will need to explain how the University of Phoenix misled you about your education or job prospects. You will also need to provide evidence to support your claims.

Why am I getting a refund from the University of Phoenix? ›

“The check's in the mail.” You've heard it before, but this time it's true if you are one of the 147,000 University of Phoenix students who will be receiving payments totaling more than $50 million as a result of the FTC's law enforcement action against the online school.

Is there a class action lawsuit against University of Phoenix? ›

If you applied to the University of Phoenix due to the misrepresentation about potential job offers implied by the school's advertising campaign, you may be eligible to join a University of Phoenix class action lawsuit.

Is University of Phoenix closing down? ›

UoPX also received $3.4 million in aid through the American Rescue Plan. In 2021, UoPX continued to close campuses, including Atlanta and Salt Lake City. The Phoenix, Arizona campus was the only location accepting new in-person students. UoPX would later announce that only one campus would remain open in 2025.

How do I dispute University of Phoenix? ›

You are encouraged to work directly with your campus personnel to resolve any disputes. However, if further attention is necessary, you may contact the Office of Dispute Management (ODM) for assistance by calling 602.557. 5566 or send an email with the form below.

Is the Sweet vs Cardona settlement taxable income? ›

Talked with Turbo Tax Live and received the answer that the refund check from the Sweet vs Cardona Settlement is taxable income. Information is below: Legal settlements that are taxable (including previously deducted medical expenses related to physical injury or illness) are entered as miscellaneous (other) income.

How much will I get back from ITT Tech lawsuit? ›

ITT Tech Student Settlement Claim Amount

The first payment of $10 has already been credited to the accounts of beneficiaries. Eligible students may receive a refund of up to $7,000 to help alleviate the burden of their loans. In some cases, the court may even discharge the entire loan if it is deemed excessively high.

How long does it take for borrower defense application? ›

How Long Does a Borrower Defense Case Take? The timeline to hear back from the Department of Education may vary depending on the case. The department has three years to make a decision after determining whether it is materially complete.

Why is borrower defense taking so long? ›

On Aug. 7, 2023, a federal court issued an injunction delaying the effective date of the latest regulations governing borrower defense and closed school loan discharges until at least November.

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