Biden administration cancels $72 million in student debt

The U.S. Department of Education in Washington, D.C.

Caroline Brehman | CQ-Roll Call, Inc. | Getty Images

The Biden administration announced on Wednesday it would forgive $72 million in student debt for more than 2,300 borrowers who attended Ashford University.

The aid will go to students from the online for-profit school based in San Diego, who requested loan cancellation through the U.S. Department of Education’s borrower defense process. That relief goes to borrowers who were misled or defrauded by their college.

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The department said that Ashford University made substantial misrepresentations to students between 2009 and 2020. In their applications, former students of the school described an inability to complete their programs or obtain employment.

In 2020, the University of Arizona announced a plan for its affiliated foundation to acquire Ashford University and turn it into the University of Arizona Global Campus (UAGC), according to the Education Dept. The University of Arizona took direct ownership of UAGC at the end of June.

Eligible borrowers will be notified in September, the Education Dept. says.

This is breaking news. Please check back for updates.


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