School Misconduct
Corinthian, ITT, and DeVry: Exact Federal Relief Scope
Corinthian and ITT have defined historical group determinations. DeVry's common facts support individual applications, while separate FTC actions had different amounts and effects.
Corinthian Colleges, ITT Educational Services, and DeVry University do not share one relief program. Each official action has its own covered institution, attendance period, loan scope, and process. Borrowers should compare their records with the exact Department determination and current account notices.
Corinthian Colleges
The Department determined that all borrowers who enrolled in a school operated by Corinthian Colleges Inc. from 1995 through 2015 are eligible for group Borrower Defense discharge of their related federal student loans. Corinthian operated the Heald, Everest, and WyoTech brands. The group finding rests on widespread employment-prospect misrepresentations during Corinthian's ownership and operation; additional job-placement and transferability findings had narrower campus, program, and date scopes.
ITT Educational Services
The ITT group determination covers federal student loans borrowed to attend ITT from January 1, 2005, through September 2016, when the company closed. This historical group scope should not be rewritten as relief for every loan or every period connected to an ITT borrower. Borrowers should confirm that the loan financed attendance during the covered period and follow Department or servicer notices.
DeVry University
DeVry did not receive the same blanket group treatment. The Department's DeVry executive summary supplies common facts for individual adjudication of Borrower Defense applications concerning DeVry's 2008-2015 representations that 90% of graduates actively seeking employment obtained in-field jobs within six months. Each application and the evidence relevant to the governing loan rule are still considered individually.
Two DeVry amounts refer to different actions. A $100 million FTC settlement announced in 2016 provided $49.4 million in cash redress and $50.6 million in relief from debt owed to DeVry. Separately, the FTC reported $71.7 million in federal loan relief announced in 2022 by the Department of Education. The latter was not a 2023 FTC settlement and neither figure establishes automatic discharge for every DeVry borrower.
How to verify relief
Review the school name, campus, attendance dates, original loan records, consolidation history, current StudentAid.gov account, and servicer notices. A historical finding should not be expanded to unrelated schools, programs, enrollment periods, Parent PLUS loans, FFEL processing steps, refunds, or private loans without an official source that covers those facts. Borrowers outside a defined group may consider an individual application under the rule governing their loan dates.
Tax treatment after 2025
The temporary broad federal exclusion for many student-loan discharges ended after 2025. Relief completed in 2026 or later may be taxable unless a separate exclusion applies. A borrower should review any Form 1099-C, federal exclusions such as insolvency when applicable, and the law of the relevant State.
Frequently asked questions
What period does the ITT group determination cover?
It covers federal student loans borrowed to attend ITT from January 1, 2005 through the company's September 2016 closure. The loan and attendance period must fall within that scope.
Do the DeVry common facts automatically discharge every DeVry loan?
No. The Department uses the common facts in individual adjudication of applications concerning defined 2008-2015 job-placement representations.
Were the $100 million and $71.7 million DeVry actions the same settlement?
No. The $100 million FTC settlement was announced in 2016 and combined cash redress with DeVry-held debt relief. The $71.7 million figure was federal loan relief announced by the Department in 2022.