After federal regulators accused the University of Phoenix of systematic enrollment abuses in 2004, the school’s parent company paid out nearly $10 million to resolve the allegations.
Phoenix allegedly had broken the law by tying recruiters’ pay to enrollment numbers, U.S. Department of Education investigators found, creating pressure to check in unqualified students.
In the years since, Phoenix cemented its stature because the nation’s largest for-profit school and therefore the single biggest recipient of federal student aid. But a number of the school’s recruiters have continued to use high-pressure, deceptive tactics, consistent with a dozen current and former students and two former recruiters who spoke to ProPublica and Marketplace as a part of a joint investigation.
The students said Phoenix counselors misled them about whether credits would transfer to other schools, pretended to befriend them and lied about aid . The recruiters said they were told to rope students in with phony claims that classes were filling fast, or by suggesting that federal grants would cover costs, albeit that was uncertain.
Last week, Phoenix’s parent company, the Apollo Group, announced that it had forgot $80 million to settle a whistleblower lawsuit that creates allegations almost like those within the 2004 investigation.
In making the announcement, Phoenix said its “compensation programs and practices were in compliance with the applicable legal requirements.” and therefore the university’s president, Bill Pepicello, said in an earlier interview that if any recruiters had acted dishonestly, it had been not with the company’s approval.
Phoenix isn’t the sole for-profit university to urge into trouble in recent years. Over the past decade, federal and state agencies have found that other schools improperly paid recruiters supported what percentage people they signed up, falsified enrollment tests and fabricated aid documents.
It is unknown how long it will take if your application is approved. According to the comments of students, it takes over one year, and still, they wait for an answer. Recently tones of articles have been published about student loan forgiveness program. The Secretary of Education of USA Betsy DeVos tried to close the entire program down. Now all of us must know that the University of Phoenix student loan forgiveness program is a controversial and one day could be closed. Nobody knows about President Trump’s plan for student loan forgiveness and discharge program, and it will be undercover until it reveals. We have to be ready to lose Borrower’s Defense process at any time.
Will I Owe Taxes On My Forgiven Student Loan?
Yes, and it’s unlucky because it’s the one huge pitfall to the Borrower’s Defense process. If you win the case for Borrower’s Defense discharge and get University of Phoenix student loan forgiveness, at next stage you will count the amount forgiven as income on your subsequent IRS filing (IRS- Internal Revenue Service). Student loans can be a significant investment in your future or can be a huge burden if not thoroughly thought out or abused. If you think about taking out a student loan, be careful about the university you want to attend. Before signing up in a university, it is vitally important to do in-depth research.
The University of Phoenix persuaded students to take out loans by giving false information about graduation rates and job opportunities. Fundamentally you will accuse the University of providing false advertisement. By this way, you are saying that you wouldn’t have participated at the university and never would have borrowed the student loans. The good news is that if your appeal is confirmed, your all loan will be forgiven. If the applications are approved, the massive number of students will be benefited from the University of Phoenix student loans forgiveness or the University of Phoenix loan discharge program.