U.S. Dept. of Ed. wipes out $500M of student debt related to ITT Tech

WASHINGTON — The U.S. Department of Education announced Thursday it has wiped out student loans for 18,000 borrowers who attended ITT Technical Institute to the tune of about $500 million.

In a news release, the agency said this covers two categories of claims submitted by borrowers who attended the now closed school:

• Their likely job prospects
• Their ability to transfer credits

>>>RELATED: Former Pennsylvanian ITT Tech students’ debt canceled as part of $11.9 million relief settlement

The release said ITT Tech “made repeated and significant misrepresentations to students related to how much they could expect to earn and the jobs they could obtain after graduation” and that the school “misled students about the ability to transfer their credits to other institutions.”

Department officials said they will begin notifying the 18,000 borrowers in the coming weeks.

ITT Technical Institute was one of the largest for-profit schools in the country before it closed in 2016. Many former students have continued to struggle with debt they accrued while enrolled before the closure.

There was a campus in Robinson along the Parkway West before it closed.

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