Thousands of students waiting to have debt cleared

The federal government agreed to forgive $30 million in debt for 4,500 students

SPRINGFIELD, Mass. (WWLP) – Thousands of students who received loan forgiveness from the federal government after their for-profit school closed, are still waiting to have their debt cleared.

Students who attended the now-defunct American Career Institute, which had a campus on Cadwell Drive, were promised loan forgiveness by education officials under the Obama administration. They agreed to forgive $30 million in debt for 4,500 students.

Attorney General Maura Healey told 22News that students are still waiting. She said, “We worked to get an agreement to get loan discharges for those students. And we’ve demanded this new federal administration that they make good on their deal to students. We’re going to keep our eye out for any more predatory practices.”

Attorney General Healey sent a letter to the Trump administration asking officials to forgive the debt.