If you are one of the 13,000 California students affected by the Corinthian College closures, you may have the right to a closed school discharge of your student loans and the right to a reimbursement from the Student Tuition Recovery Fund to cover any additional funds spent on tuition.
Keep in mind that in order to be eligible for federal loan discharge, a student must not have transferred any credits to a new institution. This requirement means that it is very important for students to thoroughly evaluate their options before transferring credits to a new institution. Visit http://oag.ca.gov/Corinthian to learn more.
The Assembly has introduced Assembly Bill 573 to ensure Corinthian College students have access to educational opportunity, economic relief and legal aid. The bill is an urgency measure and it will require a two-thirds vote. Specifically, it will:
- Waive community college fees for all California students harmed by the Corinthian closure and provide funding for community college counselors to assist students with transferring.
- Provide a grant of $100 per student for legal aid services to students seeking loan discharge.
- Expand the California Student Tuition Recovery Fund (STRF) eligibility to all students attending a high-risk, for-profit institution.
- Restore the year(s) of Cal Grant eligibility for Heald students.
- Increase the statutory limit on STRF from $25 million to $50 million to ensure the STRF has sufficient funds to support all students when large, for-profit institutions close abruptly. Institutions would be required to begin paying into this fund immediately.
- Establish a Closed Schools Task Force within the Bureau for Private Postsecondary Education to ensure students are provided with accurate and consistent information from the agencies involved in the school closure process.
Download a fact sheet about the bill.
Contact my office at (209) 948-7479 to learn more or express your support of the bill.