CLOSED SCHOOL DISCHARGE SCAM// Phoenix not Las Vegas

Borrower Defense to Repayment (DTR)
#1

I went to the Art Institute of Phoenix and it closed in December 2018. Prior to the closing I withdrew in September 2018 and attended a different college but (of course) none of my credits transferred and I was stuck with all this debt afterwards. I have filed for the closed school discharge and the Borrowers Defense. However, I was declined for both of these. According to my loan servicer I could not qualify for the school discharge because the Art Institute of Las Vegas closed in December 2019. Again, I attended the Art Institute of Phoenix and not LV. I have been dealing with the emotional weight of this because it feels like no one cares and I have called every agency, and even the Relief center where I was told “wait for the President to change because they don’t approve anything, God bless” and the person hung up.

Does anyone have experience and tips with something like this.

1 Like
#2

@sincere, yes this is a known issue. Who is your servicer? I’d like to follow up with you about this. I can’t make any promises, but I feel hopeful about a closed school discharge.

Here are some media reports about other Debt Collective members who were in the same situation who we won discharges for. I was under the impression that this issue was fixed, but apparently it isn’t. That is good news. We should alert the Ed & Labor committee in Congress about this. This is unacceptable and if it is happening to you it is probably happening to a lot of other people too.

After we investigate this further, would you be willing to speak to the media about this?

#3

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