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<div id='article-page'><div id='article-content' data-media-url='//news-app-staging.s3.amazonaws.com' data-base-url='//news-app-staging.herokuapp.com' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/A.wav' data-capture-url='//staging.analytics.lingraphica.com/events/capture_news' data-article-title='Biden Administration Cancels Student Loans for Cheated Borrowers' data-article-id='5699'><script src='//news-app-staging.herokuapp.com/javascripts/getscripts.js'></script><link rel='stylesheet' href='//news-app-staging.herokuapp.com/stylesheets/article.css' type='text/css' /><div class='article'><p><span data-start-time='0' data-end-time='13521'>The U.S. Department of Education said Wednesday that it is cancelling the student loans of thousands of borrowers who attended a big, for-profit college.</span> <span data-start-time='13521' data-end-time='29604'>The loans were taken by students attending an educational organization called ITT Technical Institute, which had 130 campuses around the country.</span> <span data-start-time='29604' data-end-time='40458'>The college was found to have made misleading claims about its graduates’ success in finding jobs.</span> <span data-start-time='40458' data-end-time='54875'>ITT Technical Institute closed in 2016 after the administration of former president Barack Obama barred it from accepting new students.</span> <span data-start-time='54875' data-end-time='68396'>The Biden administration announced Wednesday that it is cancelling 18,000 loans of former students of ITT Technical Institute. </span> <span data-start-time='68396' data-end-time='78333'>The federal government’s cost of cancelling the loans is expected to be more than $500 million.</span> <span data-start-time='78333' data-end-time='90188'>The move marks a step by the Biden administration to deal with a lot of claims made through the borrower defense program. </span> <span data-start-time='90188' data-end-time='103042'>The program was not used often until the Department of Education expanded rules for cancelling loans in 2016. </span> <span data-start-time='103042' data-end-time='114104'>It provides loan forgiveness to students with federal student loans who were defrauded by their colleges.</span> <span data-start-time='114104' data-end-time='127646'>During the administration of former President Donald Trump, the government placed higher requirements for students seeking loan forgiveness. </span> <span data-start-time='127646' data-end-time='136458'>It is estimated that there are now more than 100,000 claims waiting to be processed.</span> <span data-start-time='136458' data-end-time='148417'>In announcing the new action, Education Secretary Miguel Cardona promised to continue supporting students with claims.</span> <span data-start-time='148417' data-end-time='161063'>“Our action today will give thousands of borrowers a fresh start and the relief they deserve,” Cardona said in a statement.</span> <span data-start-time='161063' data-end-time='167875'>The action follows an earlier loan cancellation in March. </span> <span data-start-time='167875' data-end-time='180396'>At that time, the Education Department cancelled $1 billion in federal student loans for 72,000 borrowers. </span> <span data-start-time='180396' data-end-time='187875'>Those claims all came from former students of for-profit colleges.</span> <span data-start-time='187875' data-end-time='199063'>Activists were pleased with the new approvals, but called for fast action for thousands of other students with claims.</span> <span data-start-time='199063' data-end-time='208563'>Alex Elson is vice president of Student Defense, a Washington legal group. </span> <span data-start-time='208563' data-end-time='215042'>He said the administration appears to want to help the students. </span> <span data-start-time='215042' data-end-time='229917'>But he said he did not understand why officials were slow “to immediately and automatically help the countless additional borrowers who are still waiting.”</span> <span data-start-time='229917' data-end-time='240313'>Borrower defense is among several education programs targeted for changes by the Biden administration. </span> <span data-start-time='240313' data-end-time='252042'>Cardona is holding a series of hearings this month as his agency considers changes to that policy and others.</span> </p></div><div class='control-buttons-sticky' style='display:none;'><div class='control-buttons'><button title='Back' class='back' disabled='disabled'></button><button title='Play' class='play' disabled='disabled'></button><button title='Pause' class='pause' style='display:none;'></button><button title='Forward' class='forward' disabled='disabled'></button><button class='finished-reading' style='display:none;'>Done</button></div></div></div><div id='article-media'><div id='media-image'><img src='https://news-app-production.s3.amazonaws.com/articles/5160/A.jpeg'/></div></div><div id='question-content' style='display:none;'><div class='vocabulary_question question-container' data-question-id=17599 data-hint-location='13521' style='display:none;'><div class='question' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/what_is_a_campus.wav'>What is a campus?</div><div class='choices' data-correct-choice='the grounds and buildings of a university or college'><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/the_grounds_and_buildings_of_a_university_or_college.wav'><span>the grounds and buildings of a university or college</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/a_horned_anthropomorphic_figure_in_alpine_folklore_who_during_the_christmas_season_scares_children_who_have_misbehaved.wav'><span>a horned, anthropomorphic figure, in Alpine folklore, who during the Christmas season scares children who have misbehaved</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/a_noisy_disturbance.wav'><span>a noisy disturbance</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/a_place_used_for_camping.wav'><span>a place used for camping</span></div></div></div><div class='multiple_choice_question question-container' data-question-id=17600 data-hint-location='136458' style='display:none;'><div class='question' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/what_is_the_role_of_miguel_cardona.wav'>What is the role of Miguel Cardona?</div><div class='choices' data-correct-choice='Education Secretary'><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/education_secretary.wav'><span>Education Secretary</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/loan_officer.wav'><span>Loan Officer</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/student_defender.wav'><span>Student Defender</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/vice_president.wav'><span>Vice President</span></div></div></div><div class='sentence_completion_question question-container' data-question-id=17601 data-hint-location='29604' style='display:none;'><div class='question' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/the_college_was_found_to_have_made_misleading_claims_about_its_graduates_success_in_finding__blank_.wav'>The college was found to have made misleading claims about its graduates success in finding <span class='blank'>jobs</span>.</div><div class='choices' data-correct-choice='jobs'><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/jobs.wav'><span>jobs</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/credits.wav'><span>credits</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/treasure.wav'><span>treasure</span></div><div class='choice' data-sound-name='https://news-app-production.s3.amazonaws.com/articles/5160/roommates.wav'><span>roommates</span></div></div></div><div class='question-buttons'><button class='skip-button'></button><button class='hint-button'></button><button class='speak-button'></button></div></div></div>
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